Indian stock markets continued their downward trajectory on Wednesday, with the Nifty 50 and BSE Sensex opening in negative territory as selling pressure persisted.
The Nifty 50 index opened 21 points lower at 23,050, while the BSE Sensex shed over 114 points, starting the session at 76,179.
Market analysts attributed the decline to ongoing foreign institutional investor (FII) outflows and concerns over global tariff policies.
Investor sentiment remains cautious, with particular attention on the upcoming meeting between Prime Minister Narendra Modi and former US President Donald Trump.
Analysts believe discussions on defence, energy collaboration, the China+1 strategy, and potential tariff adjustments could significantly impact market dynamics.
“Steel and aluminium tariffs of 25 per cent were announced by the Trump administration," said Ajay Bagga, banking and market expert.
For India, Prime Minister Modi’s summit with President Trump will be watched closely for any policy outcomes of closer cooperation on defence, energy, China+1, and a glide path for tariffs.
As such, we are cautious given continued FPI selling and pressure on small and midcaps. US CPI numbers today are expected at 3.1 per cent YoY and 0.3 per cent MoM for Core US CPI. Any number above that could lead to a minor risk-off. Caution is advised till a durable bottom is identified.”
Also read: Govt’s tax revenue rises, direct collections cross ₹21.8 lakh crore
Sectoral performance
Among sectoral indices, the oil and gas sector witnessed the highest selling pressure, while the Nifty Media index registered a 0.4 per cent gain, making it the best-performing sector in early trade.
The Nifty Auto and FMCG indices were largely flat, leaning towards the red.
In the Nifty 50, 29 stocks opened higher, while 16 declined and five remained unchanged.
Top gainers included Bajaj Finserv, Tata Steel, TCS, Wipro, and HCL Tech, whereas Mahindra & Mahindra, Reliance Industries, and Apollo Hospitals were among the top losers.
Market analysts noted broader benchmarks underperformed, with nearly 96 per cent of the NSE 500 index’s constituents ending in the red.
Akshay Chinchalkar, Head of Research at Axis Securities, stated, “Prevailing sentiment is undoubtedly weak, but with less than 10 per cent of the stocks in this benchmark under their 100-day averages, we are at a point where the decline is at a very mature stage, and that means the risk of a rebound remains high. For the day, support lies in the 22,900 – 22,970 area, while resistance rests between 23,250 and 23,300.”
Key corporate announcements
In corporate developments, several major firms are set to announce their third-quarter results, including Hindustan Aeronautics, Siemens, Power Finance Corporation, Muthoot Finance, Rail Vikas Nigam, Ashok Leyland, Bharat Forge, Jubilant FoodWorks, and Godrej Industries.
Investors will be closely watching these financial results for cues on sectoral trends and corporate earnings performance.
Asian market trends
Contrary to the Indian markets’ decline, most Asian indices traded in positive territory. The Hang Seng index in Hong Kong surged over 1.9 per cent, while Japan’s Nikkei index climbed 0.16 per cent.
South Korea’s Kospi index also gained 0.14 per cent. However, Taiwan’s Weighted Index was the only major Asian market to record a decline at the time of filing this report.
Market experts suggest a cautious approach in the coming sessions, particularly as global economic indicators, foreign fund flows, and geopolitical developments continue to shape market sentiment.
Also read: India needs USD 4 tn in bank capital for 'Viksit Bharat'
Follow us
