Nifty 50 slid 200 points to 22,600, while Sensex fell over 600 points below 72,200, marking the second consecutive day of decline.
The monthly expiry has rattled traders, pushing the Nifty 50 below 23,000 for the first time since last June. It is now down 6% year‑to‑date, a steep slide against the sector average of 3.5%.
Nifty Bank is hurt, down close to 600 points, trading below 54,000 and struggling to hold the critical 54,000 level. A move above 55,000 could salvage some confidence, but current trading hovers near 53,800.
Market watchers eye the June rebalancing, as the closing auction for the NSE will coincide with the CAS. Volatility is expected to spike in the final minutes, and liquidity may tighten.
Analysts warn that the trend may persist if the index fails to break the 23,000 threshold. Defensive sectors such as utilities and consumer staples could offer shelter amid the rally‑pressure.