Nifty ended lower on Monday due to escalation in geopolitical tensions. Index made a negative start and extended their losses as fresh escalation in the US-Iran conflict pushed oil prices higher, raising concerns over inflation outlook. Besides, sentiments remained downbeat as Foreign Institutional Investors (FIIs) remained net sellers on September 4, 2026, with a net outflow of Rs 3,111.94 crore. Meanwhile, traders overlooked report that the Reserve Bank of India (RBI) has absorbed over Rs 6.02 lakh crore from the banking system through two variable rate reverse repo (VRRR) auctions as surplus liquidity remained at a record high. In second half of the session, index continued its weak trade with cut of near half a percent till the end of the session. Finally, Nifty ended below 23,800 mark.
Most of the sectorial indices ended in red except Pharma stocks. The top gainers from the F&O segment were Vodafone Idea, Supreme Industries and Zydus Lifesciences. On the other hand, the top losers were ICICI Prudential Life Insurance Company, Steel Authority of India and Manappuram Finance. In the index option segment, maximum OI continues to be seen in the 24900 - 25100 calls and 23900 - 24100 puts indicating this is the trading range expectation.
