Equities End Lower on IT Weakness; Bond Yields Largely Unchanged

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 30, 2026 at 12:03 PM IST

Indian equity benchmarks ended lower on Tuesday, weighed down by information technology stocks as stronger US inflation data reinforced expectations that the Federal Reserve could keep interest rates higher for longer. Despite the day's decline, the benchmarks posted monthly gains as lower crude oil prices and measures to attract foreign capital continued to support broader market sentiment.

The Nifty50 fell 80.50 points or 0.34% to close at 23,865.75, while the BSE Sensex declined 249.70 points or 0.33% to 76,478.67. For June, the Nifty and Sensex gained 1.4% and 2.3%, respectively.

Technology stocks remained under pressure after stronger-than-expected US inflation data fuelled expectations of higher US interest rates for longer. The Nifty IT index fell 2.7% on the day and nearly 10% during June, hurt by concerns over client spending, weak guidance from Accenture and uncertainty over AI-led disruption.

Broader markets outperformed, with the Nifty MidCap and Nifty SmallCap indices rising 0.37% and 1.02%, respectively. Realty, consumer durables and chemical stocks led gains, while IT, media and PSU bank shares underperformed.

The rupee ended marginally weaker at 94.66 per US dollar as a firmer dollar offset support from lower Brent Crude prices. Meanwhile, government bonds erased most of their early gains after foreign portfolio investors sold around 3 billion rupees of fully accessible route (FAR) securities at the end of trade. The benchmark 6.94% GS 2036 yield ended at 6.7501%, little changed from 6.7515% on Monday, as domestic demand absorbed much of the selling pressure.

Top Movers of the Day

Maruti Suzuki jumped about 5.5% to around ₹14,152, topping Sensex gainers after Jefferies upgraded the stock to Buy and raised its target price to ₹16,500, citing multiple earnings tailwinds.

Titan Company gained roughly 3.4% to about ₹4,423.10, helped by strength in consumer durables and continued optimism on premium jewellery and watch demand even as benchmarks stayed weak.

Bajaj Finance rose around 2.5% to nearly ₹1,007, outperforming the Nifty as investors added positions in quality NBFCs ahead of Q1 results and with bond yields easing on lower oil.

Eternal advanced about 2.2% to ₹265.20, featuring among top Sensex movers as select midcap financials and consumer names attracted buying despite the headline index decline.

Adani Ports & SEZ climbed nearly 1.9% to about ₹1,810.10 after announcing a deal for MSC’s terminal arm to buy 49% in Adani Vizhinjam Port for around 1.4 billion dollars, signalling strong foreign interest in its port assets.

Ola Electric rallied over 8% to ₹43.76 as the Delhi Cabinet approved a new EV policy with a ₹15,000‑crore outlay, boosting sentiment for two‑wheeler EV makers on expectations of higher incentives and demand.

Ather Energy gained about 2.4% to roughly ₹1,110, riding the same Delhi EV policy tailwind as investors bet on faster adoption of electric scooters in the capital.

Vedanta Iron & Steel surged about 10% to ₹35.66, taking post‑listing gains beyond 70%, as debut enthusiasm and metal up‑moves kept the newly listed stock in strong demand.

Infosysfell about 3% to around ₹1,006, leading Nifty losers as Nifty IT hit a fresh 52‑week low on worries that multiple US rate hikes could hurt tech spending and growth in its key export market.

Futures & Options
The Nifty July 2026 futures contract closed at 24,040.70, a premium of 174.95 points over the Nifty 50 cash index, which ended 80.50 points, or 0.34%, lower at 23,865.75. The premium indicates traders continue to maintain a positive outlook despite the decline in the cash market.

Meanwhile, the NSE's India VIX, which measures expected near-term market volatility, eased 0.07% to 13.60. In the futures and options segment, Infosys, HDFC Bank and Reliance Industries emerged as the most actively traded stock futures contracts. The July 2026 derivatives series will expire on July 28, 2026.

Bonds
India’s government bond benchmark yields ended largely unchanged on Tuesday after early gains were erased by heavy foreign portfolio investor selling in fully accessible route (FAR) securities. The benchmark 6.94%, 2036 government bond yield ended at 6.7501%, compared with 6.7515% on Monday.

Foreign portfolio investors sold around 3 billion rupees of FAR government securities during the session, reversing much of the day's rally. Despite the selling pressure, the benchmark yield ended only marginally higher, suggesting domestic demand absorbed a large part of the supply. Traders said the market remains focused on expectations of India's inclusion in the Bloomberg Global Aggregate Index, although profit booking and foreign selling capped further gains in government bonds.

Forex
Indian rupee slipped marginally on Tuesday but posted its first quarterly gain since March 2025, supported by lower crude oil prices and the Reserve Bank of India's measures to attract foreign capital. The rupee settled at 94.66 per US dollar, compared with 94.54 in the previous session, as a firmer US dollar weighed on the domestic currency.

Despite the decline, the rupee gained 0.3% during June and about 0.2% over the quarter ended June 30. Support came from the sharp decline in Brent Crude prices to around $73 per barrel following the US-Iran interim peace agreement, easing pressure on India's current account and inflation outlook.

Crypto
Crypto markets remained under pressure on Tuesday as investors continued to navigate a challenging macroeconomic backdrop and subdued risk appetite. Bitcoin traded around $59,206, extending its weak start to 2026 after correcting sharply from its record high above $126,000 in late 2025. The world's largest cryptocurrency has fallen more than 30% since the beginning of the year as tighter financial conditions and weaker investor sentiment weighed on digital assets.

Ethereum traded near $1,585 after recovering from an intra-day low of about $1,556. The cryptocurrency remained volatile as cascading liquidations, persistent macroeconomic headwinds and heavy retail positioning continued to drive sharp price swings across the broader crypto market.

US Stock Futures
US stock futures traded higher today, putting Wall Street on track to wrap up a strong first half of the year and the second quarter on a positive note. Dow futures gained 95 points, or 0.2%, while S&P 500 futures and Nasdaq 100 futures were up by less than 0.1%, reflecting cautious optimism as investors awaited a series of key US economic data releases later this week.

US Treasury Notes
US Treasury yields edged slightly lower during today's pre-market session, as investors adopted a cautious stance ahead of key US economic data that could influence the Federal Reserve's interest rate outlook. The benchmark 10-year Treasury yield eased to 4.4%, while its price rose around 0.1% to 100.1. The two-year Treasury yield stood at 4.1% and the 30-year Treasury yield traded at 4.9%, with both posting modest price gains.

Markets have shifted their focus from geopolitical tensions in the Strait of Hormuz to upcoming economic releases, including the Job Openings and Labor Turnover Survey (JOLTS), consumer confidence data, and Thursday's June non-farm payrolls report.

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