Last Updated on April 9, 2026 11:20 pm by INDIAN AWAAZ
By Our Business Correspondent
Indian equity benchmarks closed sharply lower on Thursday, ending a five-session rally as investors turned cautious amid rising global uncertainty. Concerns linked to the fragile ceasefire between the United States and Iran dampened risk appetite across global markets, prompting profit-booking on Dalal Street.
Market participants also remained watchful ahead of quarterly earnings from Tata Consultancy Services, which are expected to offer cues for the information technology sector. Sentiment was further pressured by the weekly expiry of derivatives contracts linked to the Sensex, adding to volatility in late trade. The Nifty slipped below the 23,800 mark as banking and financial stocks led the decline.
The S&P BSE Sensex dropped 931.25 points, or 1.20%, to settle at 76,631.65. The Nifty 50 declined 222.25 points, or 0.93%, ending at 23,775.10. Despite Thursday’s fall, the indices had rallied strongly in the previous five sessions, with the Sensex gaining 7.8% and the Nifty advancing 7.46%.
Among the major laggards were Larsen & Toubro, HDFC Bank and ICICI Bank, which weighed heavily on the headline indices.
Broader markets showed relative resilience. The BSE MidCap Index edged up 0.09%, while the BSE SmallCap Index rose 0.25%. Market breadth remained marginally positive, with 2,150 stocks advancing and 2,137 declining on the BSE, while 136 shares closed unchanged.
Volatility indicators also climbed during the session. The India VIX, which measures expected market volatility, rose 3.70% to 20.43.
Economy Watch
In a positive macroeconomic signal, the World Bank raised India’s growth projection for the current financial year to 6.6%, up from its earlier estimate of 6.3%. The revision was attributed to robust domestic demand, resilient exports and the impact of recent free-trade agreements.
The report also estimated that India’s economic growth could accelerate to 7.6% in FY26 from 7.1% in FY25, supported by strong private consumption and relatively low inflation. However, the institution cautioned that rising global energy prices could pressure household incomes in the coming year. The World Bank noted that India will continue to be the primary growth engine for South Asia.
Key Market Indicators
The yield on India’s benchmark 10-year government bond rose to 6.938% from the previous close of 6.898%. In the currency market, the rupee weakened slightly, trading around 92.78 against the US dollar compared with 92.54 in the previous session.
Gold futures on the Multi Commodity Exchange of India rose marginally to ₹1,52,003 per 10 grams. The US Dollar Index slipped 0.07% to 98.85, while the yield on the 10-year US Treasury note eased to 4.286%.
Crude oil prices surged in the commodities market. Brent Crude futures for June settlement jumped 3.58% to $98.14 a barrel amid geopolitical uncertainty.
Global Market Sentiment
Global equity markets remained under pressure after renewed tensions surrounding the US-Iran ceasefire. Futures linked to the Dow Jones Industrial Average indicated a weak opening for Wall Street, while Asian and European markets also traded lower.
Investor sentiment deteriorated after Iran’s parliamentary leadership accused the United States of breaching the proposed two-week ceasefire announced earlier by US President Donald Trump. The ceasefire followed more than a month of hostilities in the region.
Differences have reportedly emerged regarding the scope of the truce, particularly concerning Lebanon. Iran has alleged violations due to continued Israeli operations, while Washington has indicated that Lebanon was not included in the arrangement.
Diplomatic uncertainty persists ahead of expected talks between Iranian negotiators and US officials in Islamabad later this week. Meanwhile, Washington has stated that US forces will remain positioned around Iran until a formal agreement is reached.
Stocks in Focus
Shares of Tata Consultancy Services rose 1.09% after the IT major reported a 2.08% sequential rise in consolidated net profit to ₹13,718 crore in the March quarter of FY26. Revenue from operations grew 5.38% quarter-on-quarter to ₹70,698 crore. The company also reported a strong total contract value of $40.7 billion for FY26 and proposed a final dividend of ₹31 per share.
Real estate firm Embassy Developments hit the upper circuit of 5% after reporting a sharp 89% surge in pre-sales to ₹2,632 crore in the fourth quarter.
Anand Rathi Wealth rallied 4.42% after its consolidated net profit jumped nearly 41% year-on-year to ₹103.08 crore in the March quarter.
On the downside, Info Edge (India) fell 2.90% after reporting moderate growth in billings in its Q4 business update. Meanwhile, GM Breweries slipped 3.26% as quarterly profit declined despite higher revenues.
Infrastructure firm Bharat Forge lost 2.29% after announcing a phased restructuring plan for its German subsidiary.
Among gainers, Apollo Micro Systems surged nearly 12% following successful blast trials of naval limpet mines, while Honasa Consumer climbed over 6% after projecting strong growth in the fourth quarter.
Power major NHPC edged higher after the government approved an investment of ₹26,069 crore for the Kamala Hydro Electric Project in Arunachal Pradesh.
Other stocks in focus included Bosch, Lupin, Dilip Buildcon, NTPC, HBL Engineering and KEC International, which moved on company-specific developments and order announcements.