- Sensex closed at 80,235.59 (-369 pts) and Nifty at 24,487.40 (-97 pts) after a volatile session.
- Autos, oil & gas, and healthcare sectors gained, while banks and realty weighed on sentiment.
- Global trade developments and geopolitical tensions kept market participants cautious.
Indian equities ended in the red on Tuesday as profit booking in banking and realty stocks offset gains in autos, oil & gas, and healthcare. The Nifty fell below 24,500, closing 97 points lower, while the Sensex dropped 369 points.
Global cues played a significant role in shaping the day’s trade. Japan’s Nikkei 225 hit a record high following an extension of the US–China tariff truce, but Indian markets lagged as traders awaited US inflation data and monitored geopolitical developments, including the upcoming Trump–Putin meeting on Ukraine.
Banking Weakness Pulls Nifty Below 24,500, Sensex Down Nearly 370 Points
Trading on Dalal Street remained choppy from the opening bell, with early gains erased by persistent selling in financials. The index briefly touched the 24,700 mark before retreating, reflecting a lack of conviction among buyers. The auto sector emerged as a bright spot, aided by strong sales momentum, while oil & gas shares benefited from steady crude price trends.
Investors remained watchful of global trade negotiations after the United States extended its tariff truce with China by 90 days, easing some immediate concerns but leaving broader uncertainty intact. Asian markets responded positively, but Indian indices failed to sustain the momentum due to domestic profit booking pressures.
Geopolitical developments also weighed on sentiment, with market participants eyeing the scheduled August 15 meeting between US President Donald Trump and Russian President Vladimir Putin. The potential implications for energy markets and sanctions kept traders on alert.
Market experts recommend a cautious approach in the current environment. While retail liquidity remains robust, elevated valuations in small and midcap stocks suggest selective buying is prudent. Sectors tied to domestic consumption and capital goods may offer resilience amid external headwinds.
Tuesday’s market close reflected a tug-of-war between supportive global developments and persistent domestic sectoral weaknesses, with volatility likely to remain the key theme in the coming sessions.
“In investing, what is comfortable is rarely profitable.” — Robert Arnott
