MUMBAI: Indian shares ended lower on Monday, with the broader market seeing sharper cuts as concerns over US tariffs and the ongoing market decline kept investors on edge.
The Nifty 50 closed 0.41% lower at 22,460.3, while the Sensex fell 0.29% to 74,115.17.
The key indexes rose nearly 2% last week on likely bargain buying after the ongoing market sell-off wiped out $1 trillion from India’s market value and made valuations in largecaps more attractive for investors.
“Large cap indices are approaching a point which warrants moderate equity allocation, diluting the conservative stance that valuations suggested for a long while,” DSP Asset Managers said. The midcap and smallcap indexes slipped 1.5% and 2%, respectively.
For broader markets, the valuation comfort is still missing but is on its way, the asset manager added.
Mid- and smallcaps are trading about 20.5% and 23% below their record high levels, while the benchmark Nifty is 14.5% below its all-time high.
India VIX, the volatility gauge, jumped the most since February 28 to 13.99, indicating that uncertainty will remain high in the near term.
India is working to secure a bilateral trade deal with the US after President Donald Trump called out the country’s high tariffs on several occasions.
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