Market Wrap- Indian equity markets extended their losing streak for the second consecutive session on Tuesday, with both frontline indices closing nearly 1% lower.
The Sensex tumbled 624 points (0.76%) to settle at 81,551.63, while the Nifty 50 declined 175 points (0.70%) to close at 24,826.20. The sell-off was broad-based, with IT and banking stocks leading the decline, as investors remained cautious ahead of key economic data releases.
Analysts attributed the weakness to profit-booking at higher levels amid concerns over global growth slowdown fears and persistent inflation pressures in developed markets.
Sectoral Performance: IT & Banking Drag, Smallcaps Show Resilience
- Nifty IT (-0.73%) and Nifty Bank (-0.39%) were the biggest drags, with major IT firms facing selling pressure due to concerns over weak global tech spending.
- The BSE SmallCap index (+0.19%) outperformed, supported by strong buying interest in select mid-tier stocks.
- Nifty Auto (+0.19%) also edged higher, led by gains in Bajaj Auto and M&M ahead of monthly sales data.
Stock Spotlight: Bayer Cropscience & ITI Ltd Surge 10%
Top Gainers
- Bayer Cropscience (+10.60% to ₹5,674) – The stock surged to a fresh 52-week high after the company reported better-than-expected Q4 earnings, driven by strong domestic demand for agrochemicals.
- ITI Ltd (+10% to ₹309.25) – The state-owned telecom equipment maker rallied on hopes of new government contracts in defense and railway communication systems.
- GE T&D India (+6.61%) & ABB Power (+5.90%) – Power sector stocks gained amid expectations of higher infrastructure spending in the upcoming budget.
Biggest Losers
- Olectra Greentech (-6.51%) – The EV stock corrected sharply after a recent rally, as investors booked profits.
- Brainbees Solutions (-6.03%) – The parent company of FirstCry saw selling pressure after weak quarterly results from global e-commerce peers.
- Blue Dart (-5.22%) – The logistics firm declined due to rising fuel costs and weak freight demand.
Commodities & Forex: Gold Slips, Rupee Weakens Further
- Gold prices fell 0.91% to ₹95,063 per 10g, tracking a stronger dollar and easing safe-haven demand.
- The Rupee depreciated to 85.39/USD (+0.35%), marking its third straight session of losses, as foreign investors pulled out funds from equities.
Market Outlook: Volatility Likely to Continue
With the monthly derivatives expiry due this week and GDP data expected on Friday, analysts expect heightened volatility in the near term.
Key Levels to Watch:
- Nifty Support:Â 24,600 (200-DMA)
- Resistance:Â 25,000 (Psychological level)
Investor Strategy:
- Defensive sectors like FMCG and Pharma may outperform if the correction deepens.
- Stock-specific moves likely in midcaps ahead of earnings season.
While the short-term trend appears weak, long-term investors can use this dip to accumulate quality stocks at reasonable valuations. The market’s direction will largely depend on global cues, monsoon progress, and upcoming budget announcements.
Disclaimer:Â This analysis is for informational purposes only. Investors are advised to consult their financial advisors before making any investment decisions.
Also Read Groww IPO: Is the $7-8 Billion Valuation Justified Amid SEBI F&O Rules?
