Markets witness volatility, end flat on first day of 2026

The domestic share market indices ended the volatile first day of 2026 on a flat note on Thursday. At close, the Sensex was down 32 points or 0.04 percent at 85,188.60, and the Nifty was up 16.95 points or 0.06 percent at 26,146.55. About 2113 shares advanced, 1872 shares declined, and 159 shares unchanged.
Eternal, NTPC, Bajaj Auto, Shriram Finance, Wipro were the top gainers on the Nifty, while losers included ITC, Bajaj Finance, Dr Reddy's Labs, ONGC, Tata Consumer.On the sectoral front, FMCG index shed 3 percent, and pharma index down 0.4 percent, while auto, IT, metal, power, telecom, PSU Bank up 0.4-1.5 percent.The BSE midcap index rose 0.3 percent, while smallcap index ended flat.
Rupee Close:
On 1 Jan'26,the Indian rupee depreciated 10 paise to close at 89.98  against the U.S. dollar on Thursday , the first trading session of 2026, as sustained foreign fund outflows and a negative trend in domestic equities dented investor sentiments.Forex traders said the USD/INR pair traded in a tight range, as support from easing crude oil prices was offset by a positive tone in the U.S. dollar index and foreign fund outflows.The Indian rupee declined on the first day of the year, after registering a 5% slump in 2025, as significant fund outflows kept dollar demand elevated and the rupee under pressure.
Trading Guide:
Ponmudi R, CEO at Enrich Money stated,Indian equity markets opened the year on a stable note amid muted global cues, with domestic factors driving sentiment and the automobile sector leading gains on strong sales data. Resilient domestic demand, policy continuity and government-led capital expenditure continued to support investor confidence, encouraging buying at lower levels and reinforcing preference for quality businesses with sustainable earnings.

(Business Correspondent)