Sensex and Nifty50 traded lower on Friday despite gains in IT stocks. Both indices were impacted by declines in Reliance Industries, banking, and financial stocks. TCS met quarterly profit estimates.

Indian equities seesawed through gains and losses to close lower for the second consecutive session as financials, pharma and energy stocks weighed.

India’s benchmark indices ended in red on Friday, pressured by selling in heavyweight financial and energy stocks, as concerns over corporate earnings dampened market sentiment, while IT stocks stood out as the only gainers after quarterly update from sector leader TCS suggested early signs of a demand recovery.

Except Nifty IT, all the sectoral gauges on the National Stock Exchange fell, with the Nifty Media, Realty and PSU Bank falling the most. The broader markets underperformed the benchmark indices as the BSE MidCap and SmallCap ended 2.13% and 2.4% down respectively.

The S&P BSE Sensex lost 241.30 points to end at 77,378.91, while the NSE Nifty50 was down 95 points to end at 23,431.50.

The Indian market closed lower on January 10 after a highly volatile session, with the Nifty falling below 23,350. The decline was driven by broad-based selling across sectors, except for IT stocks, which surged following TCS's better-than-expected Q3 results.

The IT index was in the green, mostly because of Tata Consultancy Services which published its Q3 earnings, showing a net profit rise of 11.59% to ₹12,380 crore

The S&P BSE Sensex climbed 227.35 points to 77,847.56 by 11:39 am, while the NSE Nifty50 rose 51.20 points to 23,577.70. Despite the recovery, broader market indices remained in negative territory, reflecting persistent volatility on Dalal Street.

Benchmark indices Nifty and Sensex failed to maintain their early momentum on Friday, slipping into the red for the third consecutive session as 12 out of 13 sectoral indices saw losses, primarily due to declines in public sector banks and metals.