Indian equity benchmarks experienced a significant downturn in early trade on Thursday, September 24, 2026, as global cues pressured investor sentiment. The 30-share BSE Sensex plummeted 577.67 points, or 0.77 per cent, to 74,250.58. Similarly, the NSE Nifty50 pack declined 196.15 points, or 0.84 per cent, settling at 23,250.65.
Key Factors Behind the Market Slump
The sharp decline in the Indian markets was primarily attributed to a confluence of global headwinds. Elevated crude oil prices, which surged above $102 a barrel, contributed significantly to market anxieties. Concurrently, rising US Treasury yields, with the 10-year bond yield increasing to 5.11 per cent, further dampened investor confidence. Renewed geopolitical concerns also played a crucial role in fostering risk aversion.
VK Vijayakumar, Chief Investment Strategist at Geojit Investments, commented on the situation: "As long as these two global headwinds remain, the prospects of a smart recovery in the market appear remote."
Broader Market and Top Laggards
The pressure wasn't confined to large-cap indices alone. The broader market also saw declines, with the Nifty Midcap100 falling 1.04 per cent and the Nifty Smallcap100 dropping 0.81 per cent. Among the major Nifty laggards, shares of HDFC Life Insurance Company Ltd, Bajaj Finance Ltd, Axis Bank Ltd, Bajaj Finserv Ltd, and Max Healthcare Institute Ltd recorded significant losses, declining by as much as 7.10 per cent.
Mid-Cap Resilience Amidst Large-Cap Weakness
Despite the overall market weakness, Vijayakumar highlighted a sustained focus on mid- and small-cap stocks. He noted that growth stocks in these segments witnessed continued accumulation, even amidst elevated valuations. This resilience, according to Vijayakumar, is largely driven by strong domestic liquidity chasing these segments, while large-caps have remained subdued despite what he considers fair valuations. He anticipates this trend will eventually shift, contingent on the movements in crude prices and bond yields.
NSE Listing in Focus
The potential listing of the National Stock Exchange of India Ltd (NSE) remained a key point of interest for investors during Thursday's session. Vijayakumar suggested that an NSE listing would overshadow other market developments. "If the NSE stock becomes available in today's trade at a fair price, that would be a good opportunity for long-term investors to have a blue chip in their portfolio," he added.
Global Market Context
Devarsh Vakil, Head of Prime Research at HDFC Securities, provided further global context. He noted that the US 10-year Treasury yield had climbed to approximately 5.06 per cent, reaching its highest level since 2007, while the two-year yield stood at around 4.87 per cent. US equities also fell sharply, ending record runs as the 10-year Treasury yield surpassed the 5 per cent mark. Vakil explained that global sentiment weakened due to rising US Treasury yields and an increase in the Dollar Index, which in turn put pressure on emerging-market sentiment. Heightened uncertainty surrounding the US-Iran conflict further contributed to risk aversion.
Nifty Technical Outlook
For the Nifty index, Vakil indicated that the 23,500–23,600 zone would continue to act as a crucial resistance band. Conversely, the 23,100–23,150 range is expected to provide support. A sustained move above 23,600 would strengthen the bullish outlook, whereas a break below 23,100 could exert renewed pressure on the index.