The domestic equity indices traded with significant losses in the early afternoon trade as concerns over U.S. tariffs and continued foreign fund outflows overshadowed pockets of optimism around earnings growth.
The Nifty traded below 25,950 mark. PSU Bank shares extended losses for the second consecutive trading session.
At 12:30 IST, the barometer index, the S&P BSE Sensex, tanked 597.72 points or 0.70% to 84,363.42. The Nifty 50 index declined 208.95 points or 0.81% to 25,928.70.
The broader market underperformed the frontline indices. The S&P BSE Mid-Cap index fell 1.37% and the S&P BSE Small-Cap index declined 1.43%.
The market breadth was weak. On the BSE, 1,090 shares rose and 2,859 shares fell. A total of 207 shares were unchanged.
Derivatives:
The NSE's India VIX, a gauge of the market's expectation of volatility over the near term, surged 8.31% to 10.78. The Nifty 27 January 2026 futures were trading at 26,039, at a premium of 110.30 points as compared with the spot at 25,928.70.
The Nifty option chain for the 27 January 2026 expiry showed a maximum call OI of 55.2 lakh contracts at the 27,000 strike price. Maximum put OI of 64.9 lakh contracts was seen at 26,000 strike price.
Buzzing Index:
The Nifty PSU Bank index dropped 1.56% to 8,631.20. The index fell 1.81% in two consecutive trading sessions.
Indian Bank (down 3.62%), Union Bank of India (down 3.46%), Indian Overseas Bank (down 2.68%), Bank of India (down 2.63%), Central Bank of India (down 2.27%), Bank of Maharashtra (down 2.1%), Punjab & Sind Bank (down 2.06%), UCO Bank (down 2.01%), Punjab National Bank (down 1.93%) and Bank of Baroda (down 1.74%) declined.
Stocks in Spotlight:
Madhya Bharat Agro Products (MBAPL) slipped 2.80%. The company has reported a sharp 77.47% rise in standalone net profit to Rs 31.75 crore on a robust 115.84% jump in revenue from operations to Rs 612.38 crore in Q3 FY26 over Q3 FY25.
Refex Industries declined 2.36%. The company announced that it has received a work order worth Rs 34.61 crore from an entity based in Maharashtra.