Sensex Drops 250 Points, Nifty Holds 25,700 Amid Market Dip
Overview
Indian equity benchmarks, the BSE Sensex and NSE Nifty, concluded Tuesday's session lower but recovered from intraday lows. The Sensex shed 250 points to close at 83,628, while the Nifty settled 58 points down at 25,732. Financial stocks showed resilience, helping the Nifty Bank index finish positively, though broader markets underperformed, with defence stocks experiencing sharp declines.
Stocks Mentioned
Market Ends Lower on Tuesday
Indian equity indices BSE Sensex and NSE Nifty finished Tuesday's trading session in the red, although they managed to recover from their intraday lows. The Nifty successfully maintained its position above the 25,700 mark, buoyed by a late recovery in financial stocks. The Sensex concluded the day down 250 points at 83,628, while the Nifty slipped 58 points to settle at 25,732.
Financials Stage a Comeback
Financial stocks demonstrated strength, reversing earlier losses and helping the Nifty Bank index close in positive territory. The banking index gained 128 points to finish at 59,579. However, the broader market struggled, with the midcap index falling 119 points to 59,598, indicating a divergence in sector performance.
Sectoral Weakness and Stock Movers
Defence stocks were among the steepest decliners, with notable losses seen in Solar Industries, Zen Technologies, and DCX Systems. In the Information Technology sector, Tata Consultancy Services saw a modest gain of nearly 1%, while HCL Technologies closed lower following the release of their third-quarter financial results. GTPL Hathway plummeted 22% from its peak despite reporting a 9% year-on-year increase in profit after tax. Conversely, Eternal shares rose on speculation of an increased weighting in MSCI indices.
Heavyweights Drag Indices
Several heavyweight Nifty constituents contributed to the downturn. Trent, Larsen & Toubro, Dr Reddy’s Laboratories, InterGlobe Aviation, and Reliance Industries were prominent losers, each declining between 2% and 4%. The midcap segment also saw significant laggards, including Dixon Technologies, AU Small Finance Bank, L&T Finance, Godrej Properties, and PB Fintech, which fell between 2% and 5%.
Supporting Stocks Limit Losses
On the upside, Bank of Maharashtra recorded a 2% increase following its Q3 results announcement, providing some support to the banking sector and helping to cushion the overall decline in the benchmark indices. Among the Sensex constituents, Oil and Natural Gas Corporation Ltd, Tech Mahindra Ltd, Hindalco Industries Ltd, ICICI Bank Ltd, State Bank of India, and Tata Consultancy Services Ltd were major gainers. Conversely, Trent Ltd, Larsen & Toubro Ltd, Dr Reddy's Laboratories Ltd, Reliance Industries Ltd, InterGlobe Aviation Ltd, Hindustan Aeronautics Ltd, and Grasim Industries Ltd were the most significant decliners from the Sensex basket.
