Indian equity markets opened lower on June 2, with both benchmark indices declining at the start of trade. The Nifty 50 opened 153 points lower at 23,229, while the BSE Sensex fell 322 points to 73,945, reflecting selling pressure in early trading.
Indian stock markets began the week on a weaker note amid mixed global cues and investor caution, with benchmark indices Nifty 50 and BSE Sensex opening in negative territory. However, buying interest in information technology (IT) and metal stocks provided some support to market sentiment.
Broad-based selling pressure was visible during early trade, although select sectors continued to attract investor interest. Market participants remained cautious amid global economic uncertainties, geopolitical tensions, and domestic corporate developments, according to market experts.
At the opening, the Nifty 50 declined by more than 150 points, while the Sensex registered a drop of over 300 points. Most stocks traded under pressure in the early session, and overall market sentiment remained negative. A majority of Nifty 50 constituent stocks traded in the red, while only a limited number recorded gains, indicating continued investor caution toward riskier assets.
Despite broader market weakness, the IT sector outperformed, with major technology companies witnessing buying activity that lifted the IT index. Investor interest remained concentrated in India’s leading IT services companies. Expectations linked to global demand, artificial intelligence (AI)-related opportunities, and growing demand for technology services were cited as factors supporting sentiment in the sector.
According to analysts, the ber performance of technology companies in US and European markets has also influenced Indian IT stocks, contributing to resilience in technology shares despite broader market declines.
Alongside IT, the metal sector also provided support to the market, with buying interest in metal and mining companies helping the sector remain in positive territory. Companies linked to iron ore and mineral production recorded better performance. Investor confidence in the sector remained supported by recent production data and stability in commodity markets.
Analysts said expectations of a potential improvement in demand from China and other major industrial economies also supported metal company shares. In contrast, several major stocks in financial services, insurance, and healthcare witnessed selling pressure, with profit-booking and investor caution weighing on these sectors.
Experts said these sectors had witnessed rallies in recent months, prompting some investors to adopt profit-booking strategies, which contributed to weakness in early trading.
Shares of NHPC also declined following the central government’s plan to sell part of its stake in the company through an Offer for Sale (OFS). Following the announcement, investors adopted a cautious approach, adding pressure on the stock. Market experts said the development could have a limited impact on the company’s fundamentals from a long-term perspective.
Market participants are now monitoring global economic developments, central bank policies, and international geopolitical conditions. Fluctuations in oil prices, the direction of global interest rates, and economic data from major economies may influence market direction in the coming days.
