Visa Shock and Sectoral Shifts Weigh on Indian Markets

Indian Markets: Friday's Close AnalysisIndian markets closed lower on Friday due to various sectoral pressures and global concerns, anticipating developments in the upcoming week.* The S&P BSE Sensex decreased by 387.73 points (0.47%) to 82,626.23.* The Nifty 50 decreased by 96.55 points (0.38%) to 25,327.05, reflecting cautious profit booking after a period of sustained growth spurred by expectations of Federal Reserve easing and positive US-India trade discussions.IT Sector ConcernsThe IT sector experienced significant selling pressure due to US President Donald Trump's announcement to increase the one-time H-1B visa fee to $100,000 for new visas.* This move is anticipated to adversely affect the profitability of Indian IT firms and could trigger a sell-off in the sector.* Analysts suggest that while the increased visa cost primarily affects new visas rather than renewals, it highlights greater challenges.* Companies might consider shifting jobs to India or raising service costs in the medium to long term.FII Activity and Sectoral TrendsForeign Institutional Investors (FIIs) continued to sell shares heavily in specific sectors in September.* Consumer services: ?3,246 crore outflow* IT: over ?2,000 crore outflow* Power: more than ?2,000 crore outflow* Concerns: Profitability due to fluctuating fuel costs, currency depreciation (power), and visa policy uncertainties (IT)* Financial services: ?1,634 crore inflow, suggesting market rotationTechnical Outlook and Market SupportTechnical indicators suggest short-term market consolidation.* Nifty formed a bearish candle, yet maintained a bullish momentum.* Support levels: 25,150 to 25,250* A breach below support: could trigger bearish sentiment* Holding above supports: could lead to a move towards 25,700.Sectoral Performance* PSU banks, metals, and pharma sectors experienced gains.* The market remains cautious due to geopolitical risks and US policy shifts.Outlook for the WeekInvestors are advised to carefully monitor:* Key market levels* Sector performance* Global-US policy developments