The equity markets opened on a weak note on Tuesday, with benchmark indices slipping into the red amid selling pressure in banking, IT, and select heavyweight stocks. The BSE Sensex fell by over 200 points in early trade, while the NSE Nifty 50 slipped below the 26,250 mark, reflecting cautious investor sentiment.
Markets had a mixed start despite positive signals from GIFT Nifty, but gains were short-lived as profit booking emerged soon after the opening bell. Heavyweight stocks such as HDFC Bank and Reliance Industries were among the top drags on the indices. HDFC Bank shares declined sharply for the second straight session, weighing heavily on the banking pack. Investors remained cautious despite the bank reporting steady advances growth, as concerns persisted around deposit mobilisation and margin outlook.
Other banking and financial stocks also traded lower, pulling the Bank Nifty into negative territory. IT stocks saw mild selling as traders adopted a wait-and-watch approach ahead of upcoming quarterly earnings announcements. Capital goods and auto stocks also faced pressure, adding to the overall weakness in the broader market.
On the sectoral front, most NSE indices were trading in the red. FMCG and metal stocks showed limited movement, while pharma shares were mixed. Torrent Pharma shares were in focus, while IndusInd Bank also witnessed volatility during the session.
Some pockets of strength were visible, with select private lenders and non-banking finance companies managing modest gains on the back of stock-specific triggers and positive business updates. However, these gains were insufficient to offset losses in index heavyweights.
Global cues were mixed, with Asian markets trading cautiously amid ongoing geopolitical concerns and uncertainty around global interest rate trajectories. Investors also remained alert to developments in the US markets and movements in commodity prices, which continued to show volatility.
In the currency market, the Indian rupee traded with a slight positive bias against the US dollar in early trade, offering limited support to sentiment. However, this did little to lift equity markets as domestic factors dominated trading.
Also Read: India opens first AI clinic in Greater Noida