India’s BSE Sensex surrendered early gains to close about 0.7% lower at 74,267 on Monday, extending its losing streak to a fourth consecutive session. Sentiment was pressured by uncertainty surrounding a potential US–Iran deal, persistent tensions in the Middle East, and continued foreign capital outflows.
Investors also focused on the four-day India–US discussions on an interim trade pact beginning today, aimed at finalizing the framework agreed in February. Caution prevailed ahead of the RBI’s monetary policy decision later this week and the release of key GDP data.
On the macro front, India’s manufacturing sector showed stronger growth in May, with final readings exceeding earlier flash estimates. However, most equity sectors ended in the red, with particularly sharp declines in FMCG, financials, and autos, while IT and metal stocks attracted buying interest.
Hindustan Unilever, ITC, NTPC, M&M, Kotak Bank, and Bajaj Finance were among the top laggards, falling between 1.7% and 2.8%. In contrast, Tech Mahindra, Infosys, and TCS outperformed, advancing 3.8%, 3.7%, and 2%, respectively.
