The Indian equity markets ended on a weak note today, with benchmark indices witnessing notable losses amid mixed global cues and profit-booking in heavyweight stocks. The Sensex slipped by 590 points to settle at 81,690, while the Nifty closed just above the 24,800 mark. However, broader markets outperformed, led by buying interest in small-cap and mid-cap stocks.
Here are five key highlights from today’s trading session:
1. Benchmark Indices Under Pressure
The BSE Sensex ended the day down by 590 points, weighed down by selling in financials, FMCG, and IT stocks. The NSE Nifty 50 also faced pressure, closing indian Stock Market Wrap: Benchmark Indices Drop, Broader Markets Outperform
marginally above 24,800 after briefly breaching the support level during the day.
2. Small and Mid-Cap Stocks Outperform
Despite weakness in large-cap indices, small-cap and mid-cap stocks showed resilience. The Nifty Smallcap 100 and Nifty Midcap 150 indices closed with gains, reflecting investor confidence in broader market opportunities. Sectors such as real estate, auto ancillaries, and PSU banks led the charge.
3. Sectoral Performance: FMCG and IT Weigh Down
Sector-wise, the FMCG and IT sectors were the worst performers due to concerns over global demand and margin pressures. On the other hand, metals and energy stocks provided some cushion to the benchmarks with marginal gains.
4. Institutional Activity: FII Selling Continues
Foreign Institutional Investors (FIIs) continued their selling spree, offloading shares worth approximately ₹1,200 crore, according to provisional data. Domestic Institutional Investors (DIIs), however, absorbed some of the selling pressure, providing limited support to the market.
5. Market Outlook: Volatility Ahead of Global Events
Traders remain cautious ahead of key global economic data, including inflation figures from the US and China, and central bank commentary. Volatility is expected to remain high in the near term, and investors are advised to remain selective, especially in large-cap names.
Conclusion
While today’s session reflected a risk-off sentiment among investors, the outperformance of small and mid-cap stocks suggests selective optimism in the market. With global cues and institutional flows playing a crucial role, market participants should remain vigilant and watch for opportunities in fundamentally strong sectors.
