Indian equities opened sharply lower on Tuesday, extending losses triggered by subdued U.S. market performance overnight. The Sensex plunged 557 points to 82,737.52 by mid-morning, while Nifty retreated below 25,600 amid a brutal IT sector rout.
Starting the day down 71 points at 25,641.80, Nifty soon erased gains from the prior session’s 100-point gap-up open. Broad market weakness prevailed, with BSE Midcap 150 down 0.5% and Smallcap 250 off 0.6%. Every Nifty index traded in the red, underscoring the pervasive bearish sentiment.
IT emerged as the biggest casualty, plummeting 3.34% as investors rotated out of tech amid global headwinds. Auto dipped 0.54%, FMCG 0.48%, and banks a marginal 0.12%. Sensex constituents showed stark divides: top losers included HCL Tech, IndiGo, Infosys, TCS, Airtel, and Tech Mahindra, while SBI, Asian Paints, Axis Bank, Power Grid, Tata Steel, and Kotak eked out gains.
FIIs staged a comeback yesterday, netting ₹3,843 crore in purchases after recent outflows, becoming monthly net buyers. DIIs countered by selling ₹1,292 crore. Despite this, experts urge restraint. ‘Global uncertainties demand a cautious, stock-picking strategy,’ says a veteran trader.
From a technical lens, Nifty’s path upward is blocked by 25,850-25,900 resistance. A drop below 25,550-25,600 could accelerate downside. Fundamentals should guide picks during corrections—avoid chasing rallies. True bullish momentum awaits a decisive break above 26,000, paired with robust risk controls.