Indian stock markets opened in the red on Tuesday as weak global cues and heavy selling in financial stocks pulled benchmark indices lower. The BSE Sensex fell 316 points at the opening bell to 85,325, while the Nifty 50 declined 88 points to begin the session at 26,088.
The decline comes just a day after both indices touched fresh all-time highs. On Monday, the Sensex had climbed above 86,000 and the Nifty had crossed 26,325, driven by strong domestic economic data and broad-based buying. However, profit-booking set in soon after, and that corrective trend carried into today’s session.
The financial sector was the biggest drag early in the day. Heavyweights such as HDFC Bank led the fall, putting pressure on the banking and financial indices and weighing on overall market sentiment. Investors remained cautious, especially as valuations in several large-cap counters remain stretched after the recent rally.
In contrast, select stocks from the energy, pharma and mid-cap segments showed resilience, with Gujarat State Petronet, Natco Pharma and JSW Holdings emerging as top gainers in early trade. Their gains, however, were not enough to offset losses in major financial names, making the overall market breadth negative.
Analysts believe the decline reflects a phase of consolidation rather than a shift in long-term sentiment. After a sharp uptrend over the past few weeks, the market is seeing natural profit-taking as investors look for fresh triggers. Global market softness, concerns around upcoming central bank commentary, and foreign investor activity are also influencing near-term direction.
Going ahead, traders will closely watch movements in banking stocks, global market trends and institutional flows. Any renewed interest in defensives or strong mid-cap names could help stabilise the market, but broader sentiment is likely to stay cautious in the short term.
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