The SENSEX Index Closes 0.24% Lower

India’s BSE Sensex gave up initial gains to close about 0.2% down at 77,473 on Wednesday, with a selloff in IT stocks offsetting advances in banks and metals. Traders welcomed the continued decline in oil prices amid revived optimism around the Strait of Hormuz shipping but remained cautious ahead of key US inflation data and Nvidia's earnings report. The IT sector came under stronger pressure after the US paused visa appointments amid an immigration crackdown, reviving concerns over higher costs and margin pressure. Meanwhile, softer US sanctions on Iran eased inflation concerns, helping domestic bond yields decline and supporting lenders, while metal stocks benefited from improving realization prospects. Infosys (-1.9%) was the worst performer among stocks, while Tech Mahindra and HCL Tech declined 1.4% and 0.9%, respectively. Bharti Airtel, L&T, Power Grid, NTPC, M&M, Reliance, BEL, Maruti and Trent also posted significant losses, ranging between 0.9% and 1.9%.

The SENSEX Index dropped 183 points or 0.24 percent on Wednesday to close at 77473 points. Losses were led by Infosys (-1.84%), Power Grid (-1.77%) and Bharti Airtel (-1.70%). Offsetting the fall, top gainers were Kotak Mahindra Bank (3.70%), UltraTech Cement (2.04%) and Axis Bank (1.69%).

India’s BSE Sensex rose about 0.4% to open at 77,977 on Wednesday, following gains in the previous session, as falling crude oil prices eased concerns over inflation and corporate margins, while hopes of a reopening of the Strait of Hormuz lifted investor sentiment. Brent crude fell about 2.7% to around $86.20 a barrel. Investors, however, remained cautious amid global uncertainty, with markets also tracking US tech stocks ahead of Nvidia’s results and movements in global bond yields. Domestically, investors are weighing signs of a moderation in India’s economic growth, with Q2 GDP data due next week and growth expected to ease to 7.1% from 7.8% in Q1. Markets are also watching signals from the RBI after recent communication on monetary policy and meeting minutes raised questions among investors about the central bank’s policy stance. Notable gainers included Hindustan Copper (2.8%), Netweb (2.0%), Hindustan Zinc (4.2%), Cyient (6.9%), and BSE Ltd (1.6%).