Mumbai’s stock market closed in deep red on Wednesday, hammered by escalating tensions in the Middle East. The BSE Sensex plunged 1,122.66 points, or 1.40 percent, to settle at 79,116.19. Meanwhile, the Nifty 50 index shed 385.20 points, or 1.55 percent, ending at 24,480.50.
Metal stocks bore the brunt of the sell-off, with the Nifty Metal index emerging as the biggest loser, down 3.99 percent. Other sectoral indices followed suit: Nifty PSU Bank fell 3.24 percent, Nifty Realty 3.11 percent, Nifty Oil & Gas 3.09 percent, Nifty Media 3.05 percent, Nifty Commodities 2.87 percent, and Nifty PSE 2.55 percent.
In a rare bright spot, the Nifty IT index eked out a modest gain of 0.11 percent. The downturn wasn’t limited to large-caps; midcaps and smallcaps also tumbled. The Nifty Midcap 100 index dropped 1,255.35 points or 2.16 percent to 56,925.15, while the Nifty Smallcap 100 fell 350.90 points or 2.11 percent to 16,281.50.
Market volatility spiked dramatically, as evidenced by the India VIX surging over 23 percent, signaling heightened investor uncertainty. Among Sensex constituents, Bharti Airtel, Infosys, and Tech Mahindra were the top gainers, providing slim relief amid the carnage.
On the losing side, Tata Steel, L&T, Bajaj Finance, UltraTech Cement, NTPC, Interglobe Aviation, Bajaj Finserv, Kotak Mahindra Bank, HUL, Trent, Mahindra & Mahindra, Power Grid, Axis Bank, Maruti Suzuki, and BEL posted sharp declines.
Sudeep Shah, Technical and Derivatives Head at SBI Securities, noted that the Nifty breached its crucial support at 24,570-24,600, closing at 24,481. The RSI remains at 30, underscoring persistent weakness. He cautioned that further downside could test supports between 24,350-24,300, potentially dragging the index to 24,100. On the upside, resistance lies at 24,650-24,700.
Geopolitical jitters overshadowed domestic positives, leaving investors wary as markets brace for more volatility ahead.