During midday trading on Wednesday, equity benchmarks Sensex and Nifty continued to decline, reversing their mixed opening as technology stocks faced a severe sell-off amid ongoing global trade concerns following Donald Trump’s return as US president.
By 1 PM, the BSE Sensex had tumbled 392.20 points or 0.53 per cent to 73,710.12, while the NSE Nifty declined 132.50 points or 0.59 per cent to 22,365.40. The broader markets saw even steeper declines, with the Nifty Next 50 falling 620.40 points or 1.05 per cent, and the Nifty Midcap Select index plunging 202.80 points or 1.84 per cent.
The technology sector bore the brunt of the selling pressure, with IT majors suffering significant losses. Infosys emerged as the biggest laggard, plummeting 5.70 per cent, followed by Wipro which dropped 4.81 per cent and Tech Mahindra which fell 3.96 per cent. Market participants attributed the weakness in the tech sector to escalating concerns about potential US tariffs on outsourcing services.
The market breadth remained decisively negative, with 2,573 stocks declining against 1,250 advances on the BSE. A worrying 218 stocks hit their 52-week lows, while only 43 touched their 52-week highs. Additionally, 261 stocks hit their lower circuit limits, compared to 137 stocks reaching their upper circuit limits.
However, banking and financial services provided some cushion against the broader market decline. The Nifty Bank index gained 94.65 points or 0.20 per cent, while the Nifty Financial Services index added 49.30 points or 0.21 per cent. IndusInd Bank led the gainers, surging 4.47 per cent on robust volumes of over 8.41 crore shares. Other banking stocks showing strength included Kotak Mahindra Bank, which rose 2.43 per cent, and HDFC Bank, which gained 1.73 per cent.
Among other gainers, Tata Motors continued its positive momentum, rising 2.25 per cent, while Sun Pharma added 1.09 per cent. On the losing side, Adani Enterprises fell 2.52 per cent and Axis Bank declined 2.50 per cent.
The market’s negative sentiment appeared to be spreading across sectors, with circuit limits being triggered for numerous stocks, suggesting heightened volatility. Trading volumes remained substantial across several counters, indicating active participation despite the prevailing cautious outlook.
Analysts continue to advise investors to exercise caution in the current trading session as markets navigate through global uncertainties and domestic earnings expectations.
