Indian stock markets trade lower, metals lead losses

Mumbai: The Indian equity markets traded lower on Tuesday amid volatility from Nifty weekly expiry session and weakness in metal stocks. As of 9.30 am, Sensex lost 232 points, or 0.28 per cent, to reach 83,044, and Nifty dipped 92 points, or 0.36 per cent, to settle at 25,590. Main broad-cap indices performed in line with the benchmark indices, as the Nifty Midcap 100 declined 0.28 per cent, and the Nifty Smallcap 100 dipped 0.05 per cent.

All major sectoral indices traded in the red except Nifty IT, FMCG and PSU Bank. The major loser was Nifty metal, down 1.35 per cent and the major gainer was IT, up 1.08 per cent. Immediate support for Nifty is placed at 25,550-25,500 zone, while resistance is anchored at 25,700-25,800 zone, market watchers said.

Bank Nifty continues to demonstrate relative resilience, with immediate support placed in the 60,500–60,400 zone, marking a key demand area aligned with the prior breakout and trendline support. On the upside, immediate resistance is seen near 61,000, market participants said.

Analysts said that robust DII inflows continue to provide an underlying cushion, helping offset intermittent FII outflows. However, near-term sentiment remains cautious amid persistent weakness in the IT sector on AI-disruption concerns, along with selective profit booking and mixed global cues. Consequently, trading is likely to remain range-bound and choppy until fresh domestic or global triggers offer clearer direction.

Despite the sell-off in capital market-related stocks due to RBI’s tighter rules on loans to proprietary traders and brokers, markets closed higher yesterday, reflecting underlying resilience of the market due to India’s improving macroeconomic fundamentals. The 14.7 per cent growth in corporate earnings reflected in the Q3 results has come better-than-expected and the momentum is set to continue in Q4, accelerating in FY27, they added.

In Asian markets, China’s Shanghai index eased 1.26 per cent, and Shenzhen lost 1.28 per cent, Japan’s Nikkei declined 1.09 per cent, and Hong Kong’s Hang Seng Index added 0.52 per cent. South Korea’s Kospi lost 0.28 per cent. The US markets were closed overnight on account of the Federal holiday.

They ended largely in the green in the last trading session even as Nasdaq eased 0.22 per cent. The S&P 500 added 0.05 per cent, and the Dow Jones gained 0.1 per cent. On February 16, foreign institutional investors (FIIs) net sold equities worth Rs 972 crore, while domestic institutional investors (DIIs) were net buyers of equities worth Rs 1,667 crore.