The headline equity indices traded with substantial losses in the mid-afternoon trade, weighed down by weak forex reserves and global uncertainty. Geopolitical relief and US-India trade optimism offered little support, as caution persisted ahead of the July 9 U.S. tariff deadline.
The Nifty slipped below 25,500 level after hitting day’s high of 25,669.35 in early trade. Auto shares witnessed profit booking after advancing in the past four consecutive trading sessions.
At 14:25 IST, the barometer index, the S&P BSE Sensex, fell 527.37 points or 0.63% to 83,531.55. The Nifty 50 index fell 148.55 points or 0.58% to 25,489.25.
The broader market outperformed the frontline indices. The S&P BSE Mid-Cap index rose 0.57% and the S&P BSE Small-Cap index added 0.67%.
The market breadth was positive. On the BSE, 2,206 shares rose and 1,849 shares fell. A total of 181 shares were unchanged.
The NSE's India VIX, a gauge of the market's expectation of volatility over the near term, jumped 4.01% to 12.89.
Buzzing Index:
The Nifty Auto index fell 0.73% to 23,831.75. The index rallied 2.33% in the past four trading session.
Maruti Suzuki India (down 2.11%), Hero MotoCorp (down 1.76%), Mahindra & Mahindra (down 0.76%), Bajaj Auto (down 0.68%), TVS Motor Company (down 0.66%), Eicher Motors (down 0.44%), Balkrishna Industries (down 0.36%), Bharat Forge (down 0.10%) and Ashok Leyland (down 0.04%) declined.
On the other hand, Bosch (up 1.43%), Tube Investments of India (up 0.33%) and Tata Motors (up 0.28%) edged higher.
Numbers to Track:
The yield on India's 10-year benchmark federal paper rose 0.14% to 6.319 from the previous close of 6.310.
In the foreign exchange market, the rupee edged lower against the dollar. The partially convertible rupee was hovering at 85.6150 compared with its close of 85.5050 during the previous trading session.
MCX Gold futures for 5 August 2025 settlement rose 0.45% to Rs 95,924.
The US Dollar Index (DXY), which tracks the greenback's value against a basket of currencies, was down 0.21% to 96.830.
The United States 10-year bond yield lost 0.26% to 4.247.
In the commodities market, Brent crude for August 2025 settlement gained 22 cents or 0.33% to $67.02 a barrel.