Sensex Falls Over 400 Points, Nifty Slips Below 24,450 as Crude Oil Concerns Weigh

Indian equities remained under pressure on Tuesday, with rising crude oil prices and weakness in heavyweight financial stocks keeping investors cautious. At 12:24 PM, the Sensex was down 434.60 points, or 0.55 per cent, at 78,107.84, while the Nifty 50 slipped 142.15 points, or 0.58 per cent, to 24,441.65. Elevated oil prices remained the key concern for the market, even as IT and select pharmaceutical stocks provided some support.

The weakness was more pronounced in Banking stocks. The Nifty Bank fell 414 points, or 0.72 per cent, to 57,273. The Nifty Midcap 100 declined 0.27 per cent to 63,682, while Small-Caps bucked the broader trend, with the Nifty Smallcap 100 gaining 0.23 per cent to 19,859. The divergence suggested that selling remained concentrated in Large-Cap financials rather than spreading uniformly across the market.

Sectorally, IT and pharma emerged as pockets of strength. The Nifty IT gained 0.51 per cent, while the Nifty Pharma advanced 0.34 per cent. IT stocks found support amid expectations that the US Federal Reserve may remain cautious on further rate increases, which is generally supportive for technology companies with large US exposure.

On the other side, the Nifty Private Bank dropped 0.94 per cent, followed by the Nifty FMCG, which declined 0.82 per cent, and the Nifty Metal, down 0.72 per cent. Financial stocks remained under pressure as higher crude prices raised concerns around inflation, India’s import bill and the broader interest-rate outlook.

Among individual stocks, Gland Pharma surged around 11 per cent after its first-quarter earnings came in ahead of expectations. Info Edge jumped 5.94 per cent to Rs 1,358.10, supported by an improvement in Q1 operating margins.

Oil India gained nearly 5 per cent to Rs 475.60, benefiting from strength in crude oil prices. In contrast, Jubilant Pharmova fell nearly 6 per cent after Q1 consolidated profit declined 45 per cent year-on-year to Rs 56 crore, even as revenue increased 17 per cent.

Final institutional activity for August 11 will be available after the market closes. In the latest completed session on August 10, FIIs were net buyers of Rs 1,974.76 crore, while DIIs sold shares worth Rs 1,290.29 crore. Foreign institutional flows will remain an important factor to watch, particularly if volatility in crude oil and global markets persists.

Global cues remained mixed. US markets ended marginally lower overnight, with the S&P 500 and Dow slipping 0.1 per cent each and the Nasdaq declining 0.3 per cent. Asian markets also traded on a mixed note. Brent crude hovered around USD 88 per barrel, keeping concerns around imported inflation and India’s current account position in focus.

Going ahead, the 24,300 zone remains an important near-term support area for the Nifty, while 24,800 to 25,000 is likely to act as a resistance band. Crude oil movements, remaining Q1 earnings announcements and upcoming US inflation data are likely to influence sentiment in the next few sessions.

Market levels and Intraday trends can change quickly through the session, so investors should continue to track price action and incoming global cues rather than rely on short-term directional calls.

Disclaimer: The article is for informational purposes only and not investment advice.