Indian equity benchmarks extended their decline on Wednesday, dragged down by a cocktail of global anxieties and persistent selling by foreign funds. The S&P BSE Sensex and the NSE Nifty50 both slipped around 0.30% by noon, reflecting investor caution.
Markets Under Pressure: Key Triggers
The sell-off was primarily driven by two external factors. Escalating geopolitical tensions in the Middle East and renewed concerns over potential tariff increases by the United States prompted investors to book profits and reduce risk exposure. This cautious sentiment overshadowed domestic buying support.
Foreign Institutional Investors (FIIs) remained net sellers, offloading equities worth Rs 107.63 crore on Tuesday, according to provisional exchange data. However, Domestic Institutional Investors (DIIs) provided a counterbalance, purchasing shares worth a substantial Rs 1,749.35 crore on the same day.
Midday Snapshot: Who Gained, Who Lost?
At 12:21 PM, the Nifty50 was trading at 26,101.25, down 77 points, while the BSE Sensex stood at 84,806.54, down 257 points. The market movement was largely stock-specific, with clear winners and losers emerging.
On the Nifty50, Titan Company led the gainers' pack with a sharp rally of 4.69%. It was followed by Jio Financial Services, HCL Tech, Wipro, and Tech Mahindra. The broader information technology sector showed resilience amidst the downturn.
On the losing side, Cipla was the top laggard, plunging 4.63%. Other significant losers included Tata Motors PV, Max Healthcare, Kotak Mahindra Bank, and Maruti Suzuki.
The story was similar on the 30-share Sensex. Titan Company (up 4.76%) and HCL Tech (up 1.70%) were the top performers. The losers were led by IndusInd Bank, Kotak Mahindra Bank, and Maruti Suzuki.
Expert View and Global Cues
Commenting on the market trend, Ponmudi R, CEO of Enrich Money, said, "Rising geopolitical tensions and fresh tariff-related concerns have triggered profit-booking at higher levels, keeping risk appetite in check. As a result, the market is expected to remain largely range-bound, with stock-specific and sector-led moves dominating trade rather than a broad-based directional trend."
Global markets presented a mixed picture. While South Korea's Kospi and China's SSE Composite were trading higher, Japan's Nikkei 225 and Hong Kong's Hang Seng were in the red. In the commodity market, Brent crude oil prices fell 0.87% to $60.17 per barrel.
The combination of external headwinds and FII selling is likely to keep Indian equities volatile in the near term, with investors advised to focus on fundamentally strong stocks.
