Indian stock markets extended their losses on Wednesday, with the benchmark Sensex falling 318.76 points or 0.39 per cent to close at 81,501.36.
The broader Nifty 50 index ended 86.05 points or 0.34 per cent lower at 24,971.30, slipping below the psychological 25,000 mark.
The decline came amid weak global cues and persistent selling by foreign investors. Most key sectors faced pressure, mirroring the benchmark performance.
Among the top gainers on the NSE, HDFC Life surged 1.79 per cent, followed by Dr Reddy’s Lab (1.34 per cent), Grasim (1.05 per cent), HDFC Bank (0.97 per cent), and Bajaj Auto (0.88 per cent).
On the flip side, Trent led the losers, plunging 3.61 per cent, followed by M&M (-2.78 per cent), Infosys (-2.10 per cent), Hero Motocorp (-2.10 per cent), and Adani Ports (-1.39 per cent).
The broader markets outperformed the mainline indices, with the Nifty Midcap Select index closing marginally higher by 0.02 per cent at 13,154.70.
The Nifty Bank index fell 0.20 per cent to 51,801.05, while the Nifty Financial Services index managed to eke out a small gain of 0.08 per cent to close at 23,882.35.
Market breadth was mixed, with 2,023 stocks advancing and 1,940 declining on the BSE. 262 stocks hit their 52-week highs, while 32 touched their 52-week lows.
HDFC Bank led the gainers among Sensex stocks, rising 0.92 per cent to ₹1,699.95, followed by Bharti Airtel (+0.91 per cent) and Reliance (+0.75 per cent). Asian Paints and SBI also saw slight gains of 0.37 per cent and 0.16 per cent, respectively.
Among the losers, Mahindra & Mahindra dropped 2.87 per cent, while Infosys declined by 2.05 per cent. Adani Ports, Tata Motors, and JSW Steel all fell by 1.20 per cent, 1.13 per cent, and 1.13 per cent, respectively.
Prashanth Tapse, Senior VP (Research) at Mehta Equities Ltd, commented on the day’s trading: “Markets were range-bound with a negative bias as investors mostly resorted to selective profit-taking, particularly in banking, IT and auto stocks.
While weak global market cues also contributed to the overall weakness, persistent offloading of domestic shares by foreign investors this month have made local traders jittery and are mostly adopting a cautious approach.”
Tejas Shah, Technical Research at JM Financial & BlinkX, noted, “The Nifty lost 86 points over the day to close at 24,971. It started on a weak note considering global cues and remained weak throughout the entire trading session… Nifty formed a DOJI candle on its daily chart which indicates indecisiveness prevailing in the marketplace at the current juncture.”
Nagaraj Shetti, Senior Technical Research Analyst at HDFC Securities, observed: “The weakness with range bound action continued in the market on Wednesday. Technically this pattern reflects ongoing range bound action in the market and the Nifty is currently placed near the lower range around 24900 levels.”
Ajit Mishra, SVP Research at Religare Broking Ltd, maintained a negative outlook on the index, stating: “The market’s upward movements are being met with resistance, primarily due to persistent selling by foreign investors and a lackluster start to the earnings season. However, strength in select heavyweight stocks is helping to slow the decline.”
On the global front, markets in Asia and Europe were mostly lower, following a pullback in U.S. stocks from their recent records. The selling was particularly pronounced in technology and energy sector shares.
Additionally, lackluster earnings from French luxury giant LVMH, indicating worsening demand for luxury goods in China, weighed on market sentiment.
Foreign Institutional Investors (FIIs) were net sellers in the capital market, offloading ₹1,748.71 crore worth of shares across BSE, NSE, and MSEI. Domestic Institutional Investors (DIIs) were net buyers, purchasing shares worth ₹1,654.96 crore.
Among other investor categories, client accounts saw a net sell of ₹185.51 crore, while Non-Resident Indians (NRIs) were net sellers, recording a net outflow of ₹31.27 crore. Proprietary traders, however, were net buyers, with a net inflow of ₹307.82 crore.
India’s trade deficit narrowed to a five-month low of $20.8 billion in September, down from $29.7 billion in August. Exports showed a marginal decline of 0.5 per cent, an improvement from the 9.4 per cent drop seen in the previous month. Imports grew by 1.6 per cent, compared to 2.8 per cent growth in August.
As the market continues to navigate through global uncertainties and domestic challenges, investors are advised to remain cautious and watch for key support and resistance levels in the coming sessions.