The benchmark BSE Sensex fell 46 points to close at 80,242, while the broader NSE Nifty 50 ended marginally lower by 2 points at 24,334, holding above the crucial 24,300-mark. Despite the flat headline numbers, underlying market weakness was evident, with 36 of the 50 Nifty constituents ending in the red.
The selling pressure was more pronounced in the broader markets. The Nifty Midcap 100 index dropped 463 points to 54,125, continuing its recent underperformance. The Nifty Bank also retreated sharply, shedding 304 points to close at 55,087, as rate-sensitive stocks remained under pressure amid mixed global cues and earnings-led volatility.
Financials led the declines, dragged down by Bajaj Finance, which slumped nearly 5% after missing Q4 estimates and providing weaker-than-expected guidance. Its parent Bajaj Finserv was the top Nifty laggard, falling close to 6% as the company reported a sequential decline in insurance premiums.
In another earnings-related move, Trent Ltd
fell nearly 4% despite posting a healthy set of Q4 numbers, indicating profit-taking at higher valuations. Meanwhile, Premier Explosives plunged 18% after a fire incident at one of its Telangana units, triggering investor concerns over operational disruptions.
The defence sector, which had rallied in the previous two sessions, saw profit-booking. Hindustan Aeronautics Ltd (HAL) slipped almost 3%, while Bharat Electronics Ltd (BEL) ended over 1% lower, pausing the recent rally in defence names.
However, not all segments were under pressure. Tyre manufacturers saw strong buying interest on a positive industry outlook. Ceat Ltd led the rally, jumping over 9%, supported by expectations of volume growth and margin expansion. Realty stocks also witnessed a strong session, with Macrotech Developers and Godrej Properties gaining more than 3% each, amid optimism over rising demand and strong pre-sales guidance.
Among other notable movers, Vishal Mega Mart surged 10% after the company reported an 88% year-on-year jump in net profit, boosting sentiment in the retail space. Schaeffler India advanced 6% after reporting a 19% YoY rise in EBITDA, with margins improving to 18.15%, indicating operational efficiency.
Energy major Indian Oil Corp (IOC) rose over 1% as it beat earnings estimates, providing some support to the broader market. Meanwhile, IndusInd Bank shares trimmed losses to close off their intraday lows after the Reserve Bank of India constituted a committee of executives to oversee operations following the CEO’s resignation, offering short-term governance stability.
Despite select gainers, the overall sentiment remained bearish, reflecting investor caution ahead of the US Federal Reserve’s monetary policy decision and macroeconomic data due later in the week. The persistent underperformance of midcaps and the sharp selloff in high-beta stocks point to rising risk aversion, even as headline indices remain near record highs.
