Benchmark equity indices closed sharply lower on Tuesday, with the Nifty slipping below the 25,250 level as selling pressure intensified across the board. All NSE sectoral indices ended in the red, with realty stocks leading the declines.
Shares came under pressure amid renewed trade tensions between the US and Europe, rising geopolitical risks, and weaker-than-expected Q3 earnings from a few heavyweight companies. Persistent foreign institutional selling, a sharp sell-off in the broader market, and the weekly expiry of Nifty derivatives added to volatility.
Investors also remained cautious ahead of a potential US Supreme Court ruling on Trump-era tariffs, as an adverse outcome could materially shift global trade dynamics, even though the timing and verdict remain uncertain.
The S&P BSE Sensex tumbled 1,065.71 points or 1.28% to 82,180.47. The Nifty 50 index dropped 353 points or 1.38% to 25,232.50.
Bajaj Finance (down 3.89%), Bajaj Finserv (down 2.85%) and Mahindra & Mahindra (down 2.73%) were major Nifty drags today.
The broader market underperformed the frontline indices. The S&P BSE Mid-Cap index declined 2.52% and the S&P BSE Small-Cap index fell 2.74%.
The market breadth was weak. On the BSE, 780 shares rose and 3,503 shares fell. A total of 129 shares were unchanged.
The NSE's India VIX, a gauge of the market's expectation of volatility over the near term, surged 7.63% to 12.73.
Numbers to Track:
The yield on India's 10-year benchmark federal paper was down 0.04% to 6.681 as compared with the previous close of 6.684.
In the foreign exchange market, the rupee edged lower against the dollar. The partially convertible rupee was hovering at 90.9675 compared with its close of 90.9000 during the previous trading session.
MCX Gold futures for 5 February 2025 settlement jumped 2.25% to Rs 1,48,922.
The US Dollar Index (DXY), which tracks the greenback's value against a basket of currencies, was down 0.88% to 98.33.
The United States 10-year bond yield rose 1.37% to 4.291.
In the commodities market, Brent crude for March 2025 settlement lost 12 cents or 0.19% to $64.01 a barrel.
Global Markets:
The US Dow Jones index futures is currently down by 749 points, signaling a weak opening for US stocks today.
European market declined on Tuesday as the specter of fresh trade tariffs lingers, hurting market sentiment.
Asian indices ended lower as a resurgence of trade-war concerns hit risk sentiment and sparked selling in U.S. assets.
U.S. President Donald Trump's push to take control of Greenland by threatening additional tariffs—a move that risks fueling trade tensions with Europe—has led to uncertainty in the markets, with investors scurrying for safe-haven assets, including the Swiss franc and gold.
The tensions have revived talk of the 'Sell America' trade that emerged in the aftermath of his sweeping "Liberation Day" levies last April, where investors sell U.S. stocks, dollars, and Treasuries. That trade appeared to be gathering momentum in Asian hours on Tuesday.
Trump's threats triggered a sharp pushback in Europe, and his remarks have raised questions on the outlook of trade deals struck since then with Europe.
All eyes will now be on Davos, where Trump is expected to meet global business leaders on Wednesday, as the U.S. president's presence looms large over the annual gathering of the global elite in Switzerland.
Meanwhile, Japan's Nikkei saw some selling as investors looked ahead to next month's election. Prime Minister Sanae Takaichi is seeking voter backing for increased spending, tax cuts, and a new security strategy that is expected to accelerate a defence buildup.
U.S. equity markets were closed on Monday for Martin Luther King Jr. Day.
Stocks in Spotlight:
LTIMindtree dropped 6.67% after the company reported a 30.73% decline in consolidated net profit to Rs 970.6 crore despite a 3.72% jump in revenue from operations to Rs 10,781 crore in Q3 December 2025 over Q2 September 2025.
CEAT declined 4.35%. The company’s consolidated net profit jumped 60.40% to Rs 155.77 crore in Q3 FY26 as against Rs 97.11 crore posted in Q3 FY25. Revenue from operations rose 25.97% to Rs 4,157.05 crore in Q3 FY26 over Q3 FY25.
Atishay dropped 9.70% after its standalone net profit slipped 10.90% to Rs 1.88 crore in Q3 FY26 as against Rs 2.11 crore in Q3 FY25. Revenue from operations rose 1.51% to Rs 15.45 crore in Q3 FY26 as against Rs 15.22 crore in Q3 FY25.
Oberoi Realty dropped 7.37% after the company’s consolidated net profit fell 18.10% to Rs 622.64 crore, despite a 5.77% rise in net sales to Rs 1,492.64 crore in Q3 FY26 over Q2 FY26.
Tips Music surged 3.10% after the company’s consolidated net profit jumped 32.63% to Rs 58.65 crore on 21.4% rise in revenue from operations to Rs 94.28 crore in Q3 FY26 over Q3 FY25.
Deepak Nitrite gained 4.40%, following a capacity expansion update. The company said its wholly owned subsidiary, Deepak Chem Tech, commissioned a nitration and second hydrogenation plant on 19 January 2026. The facility is located at Dahej in Bharuch district, Gujarat. Total capital expenditure incurred so far is around Rs 85 crore.
Ola Electric Mobility fell 8.9% after the electric vehicle maker announced a change in its top finance leadership. In a regulatory filing, the company said Deepak Rastogi has been appointed chief financial officer with effect from 20 January 2026. He succeeds Harish Abichandani, who resigned from the post citing personal reasons, effective at the close of business on 19 January 2026.
Hindustan Zinc rose 2.92% after the company’s consolidated net profit after tax rose 46% YoY and 48% QoQ to Rs 3,916 crore in Q3 FY26, compared with Rs 2,678 crore in Q3 FY25 and Rs 2,649 crore in Q2 FY26. Revenue climbed 27% YoY and 28% QoQ to a record Rs 10,980 crore in Q3 FY26, led by higher commodity prices, increased production, and a stronger dollar.
Jindal Saw surged 3.74% after the company reported a 69.85% jump in consolidated net profit to Rs 257.99 crore on 16.77% increase in revenue from operations to Rs 4,943.41 crore in Q3 FY26 over Q2 FY26. On a Year on year (YoY) basis, the company’s consolidated net profit and revenue from operations declined 49.06% and 6.22% respectively in Q3 FY26.
Tata Capital shed 0.46%. The company’s consolidated net profit (attributable to owners) jumped 16.85% to Rs 1,256.87 crore in Q3 FY26 as against Rs 1,075.57 crore in Q3 FY26. The company's consolidated interest income increased 10% to Rs 7,242 crore in Q3 FY26 as against Rs 6,585 crore in Q3 FY25. Total revenue from operations rallied 12.27% year on year (YoY) to Rs 7,975.44 crore in Q3 FY26.
Rajoo Engineers advanced 1.48% after the company’s consolidated net profit surged 79.04% to Rs 16.83 crore in Q3 FY26, compared with Rs 9.40 crore in Q3 FY25. Revenue from operations jumped 56.21% YoY to Rs 87.59 crore in the quarter ended 31 December 2025.
Senores Pharmaceuticals shed 2.90%. The company’s consolidated net profit fell 2.22% to Rs 31.66 crore in Q3 FY26 as against Rs 32.38 crore in Q2 FY26. However, total revenue from operations rallied 7.91% to Rs 174.56 crore in Q3 FY26 over Q2 FY26.
Bansal Wire Industries declined 5.10%. The company reported 3.81% rise in consolidated net profit to Rs 43.27 crore in Q3 FY26 as against Rs 41.68 crore posted in Q3 FY25. Revenue from operations jumped 11.29% year-on-year (YoY) to Rs 1,029.02 crore in the quarter ended 30 September 2025.
IPO Update:
The initial public offer (IPO) of Shadowfax Technologies received bids for 4,13,35,800 shares as against 8,90,88,807 shares on offer, according to stock exchange data at 16:27 IST on Tuesday (20 January 2026). The issue was subscribed 0.46 times.
The issue opened for bidding on Tuesday (20 January 2026) and it will close on Thursday (22 January 2026). The price band of the IPO is fixed between Rs 118 and 124 per share. An investor can bid for a minimum of 120 equity shares and in multiples thereof.