MUMBAI– Indian equity markets closed in the red on Wednesday after a volatile trading session, dragged down by selling pressure in IT and metal stocks, particularly Vedanta and Hindustan Zinc.
The benchmark Sensex ended the day at 83,536.08, down 176.43 points or 0.21%. The 30-share index opened lower at 83,625.89, compared to the previous close of 83,712.51. Despite hitting an intra-day high of 83,781.36, it ultimately settled in negative territory.
The broader Nifty index also declined, falling 46.40 points or 0.18% to close at 25,476.10.
Vedanta and Hindustan Zinc stocks were under pressure throughout the day following allegations by U.S.-based short-seller Viceroy Research. Vedanta dropped 3.29% to ₹441.30, while Hindustan Zinc fell 2.50% to ₹425.30. Both companies have denied the allegations.
“Despite global uncertainties, Nifty opened flat and traded within a narrow range throughout the session, reflecting a sideways trend,” said Sundar Kewat, analyst at Ashika Stock Broking.
Kewat noted that sectoral performance was mixed, with strength seen in Consumer Goods, Automobiles, Consumption, and Financial Services. However, Metals, Realty, and IT stocks underperformed.
In the Sensex pack, Bajaj Finance, Power Grid, Hindustan Unilever, Asian Paints, Mahindra & Mahindra, ITC, NTPC, and HDFC Bank closed in positive territory.
On the other hand, Axis Bank, Reliance Industries, Tata Motors, Titan, Infosys, Bharti Airtel, TCS, and HCL Tech ended in the red.
Within the Nifty50 index, 29 stocks declined while 21 advanced.
Among the broader indices, Nifty Next 50, Nifty Midcap 100, and Nifty 100 all ended lower. Nifty Smallcap 100 bucked the trend and posted gains. Sectorally, Nifty Bank and Nifty IT closed in the red, while Nifty Auto and Nifty Financial Services finished higher.
Meanwhile, the Indian rupee continued to face strong resistance around the 85.40 level amid increased dollar buying.
“The persistent weakness across Asian currencies has placed considerable downward pressure on the Indian rupee, further exacerbated by renewed strength in the U.S. dollar,” said Dilip Parmar, Senior Research Analyst at HDFC Securities. (Source: IANS)
