Indian indices ended on a weak note

The Indian stock markets ended the week on a weak note, with benchmark indices witnessing heavy selling for the third straight session, as investors remained cautious ahead of several global developments that could influence market sentiment next week.

The Sensex dropped 1,471 points, or 1.93 per cent, to close at 74,563.92, while the Nifty declined 488 points, or 2.06 per cent, to settle at 23,151.10.

The broader market also saw sharp losses, with the BSE Midcap and Smallcap indices falling more than 2.5 per cent each.

The decline also marked the third consecutive weekly loss for both indices. During the week, the Sensex lost 4,355 points, or about 5.5 per cent, while the Nifty slipped nearly 1,300 points, or 5.3 per cent, reflecting widespread selling across sectors.

Market participants are now closely watching several global triggers that could influence the direction of the stock market in the coming week.

One of the most important events is the upcoming US Federal Reserve policy meeting. The Federal Reserve will begin its two-day meeting on March 17 and announce its decision on March 18.

Geopolitical tensions in the Middle East are also keeping investors on edge. US President Donald Trump recently said that the United States could launch additional strikes on Iran’s Kharg Island after a recent attack, while Iran has vowed retaliation.

Although there are indications that Tehran may be open to negotiations, uncertainty around the conflict is raising concerns in global markets.

Crude oil prices will also remain a key factor to watch. Global oil prices were trading slightly lower after the US Treasury announced a 30-day waiver allowing countries to purchase Russian oil that is currently stranded at sea.

Precious metal prices are another indicator investors are tracking. Gold prices declined on Friday and headed for their second straight weekly loss as rising crude oil prices continued to fuel concerns about global inflation.

Commenting on Nifty technical outlook, experts said that the index is currently approaching the 23,000 region, which is emerging as a crucial near-term support level.

"A sustained break below this zone could extend the decline toward 22,800-22,700, an area that has previously acted as a demand zone,” an analyst stated.

"On the upside, 23,500-23,800 is expected to act as the immediate resistance zone, and a decisive move above this range would be required to restore any positive momentum in the near term,” a market expert mentioned.

HDFC Bank saw its market valuation erode by Rs 61,715 crore this week as a sharp sell-off in equities dragged down the combined market capitalisation of India’s top-10 companies by Rs 4.48 lakh crore.

The decline came during a turbulent week for the stock market when the benchmark indices, BSE Sensex and NSE Nifty 50, witnessed steep losses.

Rising crude oil prices and growing concerns over inflation, along with the widening conflict in West Asia, dampened investor sentiment and triggered heavy selling across sectors.

During the week, the Sensex plunged 4,354.98 points, or 5.51 per cent, while the Nifty dropped 1,299.35 points, or 5.31 per cent.

Among the country’s most valued companies, HDFC Bank was one of the biggest losers.

Its market capitalisation declined by Rs 61,715.32 crore, taking its total valuation down to Rs 12,57,391.76 crore.

Public sector lender State Bank of India suffered the steepest decline in valuation, with its market capitalisation falling by Rs 89,306.22 crore to Rs 9,66,261.05 crore.

Financial services major Bajaj Finance also saw a sharp erosion of Rs 59,082.49 crore in its valuation, which dropped to Rs 5,32,053.54 crore.

The market value of IT giant Tata Consultancy Services declined by Rs 53,312.52 crore to Rs 8,72,067.63 crore.