Bears Tighten Grip on Dalal Street, IT Stocks Buck the Trend - Paper by Pocketful

Jun 01, 2026

NMDC Steel (+13.18%): Stock surged after the company reported a strong Q4FY26 turnaround, posting a ₹392 crore profit against a year-ago loss, while revenue grew 36.7% YoY to ₹3,879 crore.
IREDA (-5.24%): Stock declined sharply despite reporting Q4FY26 net profit of ₹493 crore, down 1.8% YoY, while total income rose 13.9% YoY to ₹2,181 crore. The company also announced a total FY26 dividend of ₹1.35 per share.
PNC Infratech (+1.11%): Stock rose after securing a ₹302.4 crore EPC contract from AAI for Pantnagar Airport. Sentiment was further boosted by a ₹228.9 crore settlement receipt from NHAI.
Inox Wind (-9.87%): Stock declined rapidly after reporting weak Q4FY26 results. Consolidated net profit fell 45% YoY to ₹106 crore, while revenue declined 2% YoY to ₹1,200 crore. Weak execution and lower-than-expected operating performance weighed on investor sentiment.

IT | Nifty IT (+2.66%): Index emerged as the top sectoral gainer, led by gains in Infosys, TCS & Tech Mahindra. Sentiment remained strong amid robust global AI demand, optimism over increased technology spending, improved deal-flow expectations, and positive cues from global software companies.
Media | Nifty Media (+1.37%): Index rose higher, led by gains in Saregama India, Zee Entertainment & Sun TV Network. Sentiment remained positive as Saregama India extended gains for the third consecutive session, supported by strong momentum in entertainment stocks, optimism around digital content consumption, and expectations of improving advertising revenues.
FMCG | Nifty FMCG (-1.80%): Index declined, led by losses in ITC, Hindustan Unilever & Tata Consumer Products. Sentiment remained weak amid margin pressure concerns, regulatory overhang on select companies, and continued selling in FMCG stocks, with ITC and Britannia hitting fresh 52-week lows.
Defence | Nifty India Defence (-X.XX%): Index declined for the third consecutive session, led by losses in MTAR Technologies, Bharat Electronics & Hindustan Aeronautics (HAL). Sentiment remained weak amid profit booking after recent gains, valuation concerns, and broad-based selling pressure across defence stocks.

Technical Level: Nifty opened with a minor gap-up but witnessed sustained selling pressure throughout the session. The index faced resistance near 23,730 at the start of the day and continued to make lower highs and lower lows. It found support around 23,360 and closed near that level, indicating weak market sentiment.
Advance-Decline Ratio: Market breadth remained weak with 1,150 advances against 2,202 declines, indicating broad-based selling pressure and cautious investor sentiment across sectors.
The Big Picture: Shares of major PC and AI ecosystem companies remained in focus after Nvidia unveiled its new Arm-based N1X processor for Windows PCs. The chip will debut in laptops from Microsoft, Dell, HP, Lenovo and other manufacturers, highlighting Nvidia’s push beyond AI data centers into the personal computing market and strengthening optimism around AI-driven hardware demand.
FII/DII Activity (June 01, 2026): DII remained net buyers with inflows of ₹16,764 crore, while FII were net sellers with outflows of ₹21,106 crore, reflecting cautious market sentiment.

IPO Corner: Merritronix SME IPO opened for subscription today and is set to attract investor attention amid ongoing activity in the SME IPO segment.
Macro: India’s Manufacturing Production YoY (Apr) & Industrial Production YoY (Apr) data will be released tomorrow, offering key insights into global manufacturing activity and trade trends.
Index Watch: Nifty opened on a subdued note and traded with a negative bias throughout the session. Selling pressure intensified in the second half, leading to a sharp decline and a close near the day’s low. The index decisively slipped below the key support zone of 23,730–23,870, indicating weakening momentum. Elevated volumes on the decline suggest strong selling interest amid cautious global sentiment and earnings concerns. Immediate support is placed near 23,280–23,350, while resistance is now seen at 23,730–23,870.

Perseverance: The determination to keep working toward a goal despite challenges, failures, or delays. It reflects consistency, patience, and unwavering effort, often leading to success even when progress seems difficult or slow.

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