Pre-Market 2 June 2026: What To Expect After Sensex Falls 508 Points; GIFT Nifty Weak, Geopolitical Tensions Remain In Focus

A weak start to June was followed by another round of selling on Dalal Street. The Sensex ended 508 points lower at 74,267 on 1 June, while the Nifty 50 dropped 165 points to close at 23,383.

What Happened In Monday's Session?

The market opened on a positive note but failed to hold early gains as selling emerged across sectors through the day.

The Sensex has now lost 2,220 points over the last four sessions, while the Nifty has shed nearly 650 points during the same period.

Broader markets also came under pressure. The Nifty Midcap 100 declined 1.45%, while the Nifty Smallcap 100 fell 0.88%.

Investors turned cautious amid continued foreign fund outflows and weakness in heavyweight banking stocks. Market capitalisation of BSE-listed companies dropped by ₹4.26 lakh crore in a single session to ₹460.70 lakh crore.

Developments in the Middle East remained another key concern. Fresh reports of military action involving the United States and Iran, along with continued hostilities between Israel and Lebanon, added to uncertainty in global markets.

Global Cues After Market Hours

Global markets delivered a mixed picture after Indian trading hours.

On Wall Street, investors balanced optimism around artificial intelligence-related stocks against concerns that efforts to end the three-month-long US-Iran conflict could take longer than expected.

On 1 June 2026, the Dow Jones Industrial Average was up 61.26 points, or 0.12%, at 51,093.72. The S&P 500 added 26.74 points, or 0.35%, to 7,606.80, while the Nasdaq Composite rose 147.75 points, or 0.55%, to 27,120.37.

European markets ended lower. The FTSE 100 Index declined 70.33 points, or 0.68%, to 10,338.95, while France's CAC 40 Index fell 36.75 points, or 0.45%, to 8,146.59.

Asian markets, however, were stronger. Japan's Nikkei 225 advanced 604.83 points, or 0.91%, to 66,934.33, while Hong Kong's Hang Seng Index gained 215.79 points, or 0.86%, to 25,398.18.

GIFT Nifty Update

On 1 June 2026 (as of 20:21 IST), GIFT Nifty was trading at 23,300.50, down 165.50 points, or 0.71%. The sharp decline suggests another weak opening for domestic equities on Tuesday.

Technical Levels To Watch

Nifty continues to trade near an important support zone after four straight sessions of losses.

• Immediate support is placed near 23,262, the recent swing low

• A break below this level could expose the index to the 23,000 mark

• On the upside, resistance is seen in the 23,700–23,800 zone

Also Read - Stocks To Watch On 2 June 2026

What Should Investors Expect Today?

Following the recent drop in benchmark indexes, market participants are likely to continue to proceed with caution. GIFT Nifty points to a soft start, while geopolitical developments continue to influence sentiment across global markets.

Traders will also watch foreign investor activity, movements in the rupee and whether Nifty can hold above the 23,262 support zone. Fresh developments from the Middle East could remain a key trigger through the session.

Sources:

Mint

CNBC TV18

Reuters