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Below the Quote on Daily Market Commentary by Mr. Siddhartha Khemka, Head - Research, Wealth Management, Motilal Oswal Financial Services Ltd.

Benchmark index Nifty fell sharply by 1.1% to 22,553 level, reaching an eight-month low; tracking U.S. equities which tumbled on Friday on concerns over weaker-than-expected economic data. The February Service PMI declined to a 17-month low and existing home sales dropped more than expected. US consumer sentiment hit a 15-month low in February, while inflation expectations soared due to President Donald Trump’s proposed tariffs. Most Asian markets followed suit, mirroring US market losses amid growing economic uncertainty. The Indian market is facing further headwinds from relentless FII selling and threats of US reciprocal tariffs. Broader market witnessed selling pressure with Nifty Midcap100 and Smallcap100 indices down 1% each. Nifty IT index plunged 2.7% on fears of US economic slowdown as domestic IT companies are heavily reliant on services exports to the US. NBFC, financials, real estate and consumer durable stocks are likely to be in focus post release of RBI MPC's Feb’25 meeting minutes on Friday; as it is being anticipated that easing in headline inflation might lead RBI to continue with further rate cut in its upcoming April’25 meet. After consolidating for the last few trading sessions, Nifty resumed its downward trajectory breaking below the key support level of 22,800. Investor sentiments are dampened amid weak global cues and we expect the market to remain subdued over the next few days.  

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