The Indian stock market continued its downward trend for the fourth consecutive session on Wednesday, as widespread selling pressure across most sectors weighed on investor sentiment. The benchmark indices witnessed a volatile session, recovering from the day's lows in the afternoon but ultimately closing with significant losses.
The S&P BSE Sensex fell by 386.47 points (0.47%) to settle at 81,715.63. The NSE Nifty 50 also declined, dropping 112.60 points (0.45%) to close at 25,056.90. The prolonged correction is attributed to continued profit-booking and lingering concerns over the U.S. H-1B visa fee hike.
Key Market Highlights
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Sensex: Closed at 81,715.63, down by 386 points.
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Nifty 50: Ended the session near the 25,050 mark.
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Market Sentiment: The sentiment was weak, with bears maintaining dominance. The broader markets also faced selling pressure, with the Nifty Midcap 100 and Smallcap 100 indices falling by nearly 1% and 0.7%, respectively.
Top Gainers and Losers
FMCG stocks were among the few bright spots, while auto, IT, and realty stocks dragged the market down.
| Top Gainers |
Top Losers |
| Hindustan Unilever (HUL) |
Tata Motors |
| Nestle India |
Bharat Electronics (BEL) |
| NTPC |
Jio Financial Services |
| JSW Steel |
Wipro |
| Power Grid |
Hero MotoCorp |
Sectoral Performance
The FMCG sector was the sole gainer in an otherwise sea of red, highlighting a defensive shift among investors.
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Top Gainer: The Nifty FMCG index was the only sectoral index to end in the green, closing with a gain of 0.18%.
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Top Losers: The Nifty Realty index was the biggest laggard, plummeting by 2.5%. It was followed by the Nifty Auto (down 1.15%) and Nifty Private Bank (down 0.8%) indices. IT, media, metal, and oil & gas sectors also ended lower.
Major News and Stock-Specific Action
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Tata Investment Corp Surges: Shares of Tata Investment Corporation were a standout performer in the mid-cap space, surging nearly 9%.
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Stocks in Focus: Several companies were in the news, including food delivery giant Swiggy, which saw its shares gain in the unlisted market. Canara Bank was also in focus after recent positive momentum.
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Market Health: Despite the recent correction, some analysts view the ongoing sector rotations and outperformance of specific stocks as signs of a healthy bull market in the long term.
IPO Market Update
The primary market remained abuzz with activity, with several mainboard IPOs seeing strong investor interest.
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Atlanta Electricals Subscribed 70x: The IPO of Atlanta Electricals closed today with a massive subscription of 70.24 times, indicating strong investor demand.
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Ongoing IPOs:
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Upcoming Issues: The IPO of Earkart is set to open on September 25. Logistics firm Glottis has announced a price band of ₹120-₹129 for its upcoming ₹307-crore IPO, which opens on September 29.
Global Market Summary
Global markets dipped, and the U.S. dollar strengthened following comments from U.S. Federal Reserve Chair Jerome Powell, which tempered expectations for aggressive rate cuts.
Frequently Asked Questions (FAQs)
Why did the market fall for the fourth consecutive day?
The market's decline was driven by continued profit-booking after a recent rally. Negative sentiment from the U.S. visa fee hike and selling pressure in major sectors like auto, IT, and realty contributed to the fall.
Which was the only sector to close in the green?
The Nifty FMCG index was the sole sectoral gainer, rising 0.18%, as investors shifted towards defensive stocks amid market uncertainty.
What is the latest from the IPO market?
The IPO market remains very active. The Atlanta Electricals IPO was heavily oversubscribed, closing with 70.24 times the subscription. Several other IPOs are currently open or are scheduled to open soon.
What is the current global market sentiment?
Global market sentiment has turned cautious. The U.S. dollar gained strength, and stock markets dipped after Federal Reserve Chair Jerome Powell's comments suggested a more measured approach to future interest rate cuts.