GIFT NIFTY Drops 0.56% to 24,268 as Nifty 50 Slides Below 24,200, Banking Stocks Bleed

Nifty 50 closed at 24,171.65 on July 20, down 162.65 points or 0.67%, with the Sensex shedding 591 points or 0.76% to settle at 77,557.22. Banking and financial stocks led the decline as benchmark indices slipped over 550 points from intraday highs, with Nifty closing below the 24,200 mark.

The session opened weak at 24,190.05, briefly recovered to test the 24,200 level mid-morning, then tumbled sharply in afternoon trade. The broader market reflected the pressure, with bank and financial stocks bearing the brunt of the selloff. Nifty 50 constituents Dr. Reddy's Laboratories fell 1.53% to close at ₹1,205.70, while realty shares dropped 1% on the day.

Sectoral performance was mixed. Pharmaceuticals and biotechnology stocks outperformed, adding 1.38%, while power stocks gained 1.49%. Auto retail climbed 2.08% and water distribution surged 4.16%. On the downside, banking and financial services stocks bled, dragging the indices lower. Punjab National Bank bucked the trend, jumping up to 5% after Q1 net profit surged, with analysts projecting up to 28% upside. Cipla shares rallied 3% during the session.

GIFT NIFTY mirrored the cash market weakness, closing Session I at 24,268.50, down 136 points or 0.56% from the previous close of 24,404.50. The contract opened at 24,373.50 and slid to an intraday low of 24,111 during the noon hour, tracking the sharp selloff in domestic equities.

The derivative index witnessed volatile trade, plunging over 260 points from the open to the session low before staging a partial recovery into the close. GIFT NIFTY traded in a 262.50-point range through the day, reflecting heightened volatility as investors assessed sectoral divergence and global cues including Middle East tensions driving oil prices higher.

GIFT NIFTY heads into Session II at 24,268.50, with traders eyeing the 24,300 level as key resistance and the day's low of 24,111 as immediate support.