By BullScreen Editorial Team 
Auto stocks remained under pressure for a second straight session on Friday, dragging the Nifty Auto index down more than 3.5 percent as rising crude oil prices and supply-chain concerns weighed on investor sentiment. The sectoral index has now declined about 11 percent this week, making it one of the worst-performing segments in the market.
The broader market also saw a sharp sell-off. The BSE Sensex fell over 1,470 points to 74,564, while the Nifty 50 dropped 488 points, or 2.1 percent, to 23,151. Market breadth remained weak with significantly more declining stocks than gainers.
Selling pressure was broad-based across automobile manufacturers and component makers. Shares of Eicher Motors fell 3.4 percent, while Mahindra & Mahindra and Maruti Suzuki declined over 3 percent each, placing them among the top losers on the benchmark index. Tata Motors passenger vehicle segment also ended about 3.2 percent lower.
Component makers saw sharper losses, with Bharat Forge and Samvardhana Motherson falling nearly 6 percent and 5 percent respectively. Among two-wheeler makers, Hero MotoCorp, Bajaj Auto and TVS Motor also closed lower.
According to JPMorgan, geopolitical tensions and rising commodity prices are creating dual risks for the sector through cost inflation and potential production disruptions. The brokerage also flagged possible shortages of LNG and LPG, which are widely used in metal casting and forging operations across the automotive supply chain.
Despite near-term headwinds, the brokerage said it continues to prefer Maruti Suzuki, Mahindra & Mahindra and Hyundai Motor India due to stronger growth visibility and relatively attractive valuations. The sector has already lagged the broader market in 2026, with the Nifty Auto index down about 12 percent so far this year.