Benchmarks Extend Losses as West Asia Tensions, IT Selloff Weigh

An end-of-day recap of all that transpired in the Indian markets, highlighting the major price movements and the factors driving them

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By Dehuti Jani

June 11, 2026 at 11:40 AM IST

Indian equity benchmarks ended lower for a second consecutive session on Thursday as escalating conflict in West Asia and concerns over prolonged high US interest rates kept risk sentiment subdued. The Nifty50 declined 53.35 points or 0.23% to close at 23,161.60, while the BSE Sensex fell 150.63 points or 0.20% to settle at 73,832.55.

Investor sentiment weakened after the US and Iran exchanged fresh strikes for a second straight day, with Donald Trump warning of further attacks if Tehran failed to agree to a peace deal. Iran also announced the closure of the Strait of Hormuz, intensifying concerns over oil supply disruptions and inflation risks.

Global sentiment was additionally hit after US inflation data showed consumer prices rose at the fastest pace in three years during May, raising fears that the Federal Reserve could maintain elevated interest rates for longer.

IT shares remained under pressure, with the Nifty IT index falling 1.6% and extending its losing streak to seven sessions amid concerns over AI-led disruption and weaker US demand outlook. Infosys, Adani Ports & Special Economic Zone and Eternal were among the top losers on the Nifty50.

Broader markets also weakened, with the Nifty MidCap and Nifty SmallCap indices declining 0.81% and 0.67%, respectively.

Top Movers of the Day

Aegis Logistics jumped over 17% to around ₹942, hitting multi‑month highs as strong volume buying continued after recent re‑rating and bullish flows into logistics and gas infrastructure plays.

Unichem Laboratories rose 2.19% to ₹447, extending its recent 3‑day 35% spike as heavy volume buying followed optimism on pharma earnings and renewed interest in midcap formulations players.

Indoco Remedies gained around 20% to ₹245.95, as the stock featured among NSE “price shockers” after a strong multi‑day up‑move on expectations of improved margins and traction in key export markets.

ICICI Bank climbed about 2% to ₹1,1313.90, topping Nifty gainers as private banks outperformed with the Nifty Private Bank index up around 0.8% amid optimism over higher NRI deposit rates.

Kotak Mahindra Bank rose about 1% near ₹392, helped by continued buying interest after FCNR(B) rate hikes to about 6.95–7.05% across peers improved sentiment for private lenders.

Mahindra & Mahindra advanced around 2% to ₹3,006, featuring among key Nifty gainers as autos recovered from early losses and investors bought into strong domestic SUV demand.

Infosys fell about 2.7% to nearly ₹1,114.60, leading Nifty losers as the IT index slid almost 2% on US inflation and rate‑hike worries despite a supportive ‘outperform’ view and GenAI opportunity commentary from brokers.

Tech Mahindra dropped close to 1% intraday before partly recovering, trading around ₹1,467, as broad‑based selling in IT on global macro worries hurt high‑beta tech names.

Gland Pharma rose more than 3% to ₹2,306.20 in the BSE Midcap index, benefiting from rotation into defensives and improving sentiment around specialty injectables and export‑driven pharma earnings.

Futures & Options
Nifty June 2026 futures closed at 23,227.90, a premium of 66.3 points over the spot Nifty 50 close of 23,161.60, indicating cautious optimism despite weak cash market sentiment. In the cash market, the Nifty 50 declined 53.35 points or 0.23%, while India VIX eased marginally by 0.12% to 15.61.

Among stock futures, HDFC Bank, ICICI Bank and Reliance Industries were the most actively traded contracts in the NSE F&O segment. The June 2026 derivatives series will expire on 30 June 2026.

Bonds
India’s government bond benchmark yields ended marginally lower on Thursday after a volatile session, as renewed US-Iran strikes pushed oil prices higher and weighed on sentiment toward fixed-income assets. The benchmark 6.94% GS 2036 yield ended at 6.9240%, after rising to an intra-day high of 6.9551%. The benchmark yield had closed at 6.9431% on Wednesday.

Bond markets came under pressure earlier in the session after the United States launched fresh strikes on targets in Iran, with Donald Trump warning of further attacks if no peace agreement is reached. The escalation renewed concerns about the inflationary impact of elevated energy prices on India, the world’s third-largest oil importer.

Brent Crude futures rose around 1.6% to $94.55 per barrel in Asian trade and have climbed roughly 30% since the conflict began in late February.

Forex
Indian rupee weakened sharply on Thursday, nearly erasing the gains triggered by the Reserve Bank of India’s recent measures to attract foreign inflows, as persistent dollar demand and weak regional cues pressured the currency. The rupee opened lower at 95.52 against the US dollar and remained under pressure through the session, eventually settling at 95.76 per dollar, down 0.5% from the previous close.

Bankers said sustained dollar demand from oil marketing companies and routine mid-month corporate outflows weighed on the domestic currency. Weakness in regional Asian currencies and elevated Brent Crude prices also kept sentiment fragile.

Crypto
Crypto markets remained under pressure on Thursday despite a mild relief rally in major digital assets. Total crypto market capitalisation fell around 2.6% to nearly $2.11 trillion as investors continued to reduce exposure to riskier altcoins amid persistent macroeconomic and geopolitical uncertainty.

Bitcoin traded near the $62,800 level after recovering from recent lows, supported by softer-than-expected US core inflation data that triggered short-covering and roughly $70 million in bearish liquidations. Bitcoin dominance rose to around 59%, reflecting a shift by investors toward relatively safer large-cap crypto assets. Ethereum remained weaker compared with Bitcoin, trading near $1,635 as broader altcoin sentiment stayed fragile amid continued ETF outflows and risk aversion across digital asset markets.

US Stock Futures
US stock futures rose early Thursday after the US said it had completed its strikes against Iran, easing some immediate concerns of further military escalation in West Asia despite reports of hostile activity from Tehran toward Gulf nations. Futures linked to the S&P 500 gained 0.72%, while Nasdaq-100 futures rose 1.1%. Futures tied to the Dow Jones Industrial Average advanced 0.64%.

Technology sentiment remained mixed after Oracle shares dropped more than 11% in extended trade following the company’s announcement that it plans to raise an additional $20 billion through equity and debt offerings to fund its artificial intelligence expansion plans.

US Treasury Notes
US Treasury yields were largely steady on Thursday as investors assessed recent inflation data and ongoing geopolitical developments in West Asia. The benchmark 10-year Treasury yield hovered near 4.528%, slightly below the previous session’s levels, while the policy-sensitive 2-year Treasury yield traded around 4.131%.

Bond markets found some support after strong demand at the latest 10-year Treasury auction helped stabilise sentiment following recent volatility. Investors also remained cautious ahead of the upcoming Federal Reserve policy meeting, while monitoring persistent inflation pressures and renewed tensions involving Iran and the US.

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