Indian equity markets witnessed a volatile trading session today. The NSE Nifty 50 closed at 25,232.50, a decrease of 353 points or 1.38%. The 30-share BSE Sensex ended the day at 82,180.47, declining 1065.7 points or 1.28%.
The broader market also experienced significant losses, with the Nifty Midcap 100 index slipping 2.62% to 58,085, and the Nifty Smallcap index also seeing considerable declines. Overall market breadth was negative, with an advance-decline ratio of 1:6, indicating widespread risk aversion among investors.
Several factors contributed to the market's downturn. Geopolitical tensions, ongoing weakness in the rupee, and consistent foreign fund outflows played a significant role in dampening investor sentiment. Disappointing earnings reports from several companies also amplified the selloff.
Almost all sectoral indices at the BSE finished in the red. The Nifty Realty index was the hardest hit, plummeting by over 5%. The Nifty Auto and IT indices also saw substantial losses, declining by 2.56% and 2.06%, respectively.
Within the Sensex pack, the majority of stocks experienced losses. Eternal was among the top laggards, dropping 4%, while Bajaj Finance slipped by about 3.9%, and Sun Pharma eased almost 3.7%. HDFC Bank was the only gainer in the Sensex pack. Key laggards also included Bajaj Finance, Coal India and Jio Financial, which all slipped between 3% and 5%.
The Indian equity market's negative sentiment mirrored trends in Asian markets, where South Korea's Kospi, Japan's Nikkei 225, Shanghai's SSE Composite, and Hong Kong's Hang Seng all closed lower. European markets also traded over 1% lower.
The intense selling pressure led to a substantial loss of investor wealth, with over ₹10 lakh crore wiped out from BSE-listed companies.
