The SENSEX Index Closes 0.40% Lower

India’s BSE Sensex reversed course to close about 0.3% down at 78,429 on Tuesday, halting a four-day advance, as investors booked profits amid Middle East uncertainty that caused a fresh rise in oil prices and ahead of RBI's policy decision due tomorrow. While the central bank is widely expected to keep interest rates unchanged, investors will be looking for signs of a more hawkish stance as inflation remains above the central bank's comfort level. At the same time,market participants continued to adjust to the new closing-auction mechanism for stocks with futures and options contracts, introduced on Monday. Among individual stocks, the biggest laggards were Hindustan Unilever (-1.7%), NTPC (-1.6%), HDFC Bank (-1.5%), Reliance (-1.2%), IndiGo (-1.1%) and Tech Mahindra (-0.6%). On the upside, Trent (1.2%), Bajaj Finance (1.1%), BEL (0.9%), Tata Steel (0.6%), Mahindra & Mahindra (0.6%) and Bajaj Finserv (0.6%) posted the largest gains.

The SENSEX Index decreased 314 points or 0.40 percent on Tuesday to close at 78325 points. The decline was led by Hindustan Unilever (-2.67%), Nestle India (-2.61%) and NTPC (-2.55%). On the upside, the strongest performers were Eternal Limited (0.34%).

India’s BSE Sensex rose about 0.3% to 78,857 on Tuesday, marking a fifth straight day of gains, even as broader market sentiment remained cautious following the previous session's technically driven rally. Life Insurance Corporation of India (LIC) was among the biggest drags on sentiment, with its shares tumbling around 6.7% after the government announced plans to sell up to a 6.5% stake through an offer for sale. The benchmark Nifty 50 traded lower after Monday's late-session rally, which was largely driven by a new closing auction process rather than a broad improvement in market sentiment. Investors also remained watchful of external risks, including geopolitical tensions in the Middle East and their potential impact on crude oil prices and the Indian rupee, while awaiting further domestic and global cues. Among notable movers included Ather Energy (13.5%), Restaurant Brands Asia (10.9%), Deepak (6.3%), KEI (6.3%), and CG Power (5.6%).