Stock Markets Slip From Early Highs As IT Shares And Crude Prices Weight On Indices

Indian stock markets traded lower on Tuesday, giving up their early gains due to heavy selling in IT shares and a rise in crude oil prices. Around 11 a.m., the Sensex fell 186.80 points to 74,672.19, while the Nifty dropped to 23,367.50, down 46.80 points. Earlier in the day, both indices had opened higher. ## Key Market Factors The IT index dropped 1.5 percent as firms like LTM and HCL Technologies fell up to 4 percent. Global brokerages CLSA and Goldman Sachs pointed to weak demand and cautious management comments due to geopolitics, higher interest rates, and inflation. Oracle Financial Services Software was an exception, rising over 1 percent after clarifying a debt issue. Meanwhile, Brent crude oil prices rose 0.8 percent to USD 101.1 per barrel, which can increase India's import bills and pressure corporate costs. Foreign Institutional Investors also sold equities worth Rs 576.20 crore on Monday, while profit booking by investors added to the downward pressure. ## Sector Performance and Expert Views All major Nifty sectoral indices fell except for Metal and Realty. Coal India bucked the trend, gaining more than 2 percent after Morgan Stanley upgraded its rating to overweight. Ponmudi R, CEO of Enrich Money, noted that the Nifty must hold key support levels around 23,300 and 23,200 to preserve its recovery structure, while facing resistance between the 23,500 and 23,600 region.