The Indian stock market extended losses on Tuesday with Sensex settling 238 points lower and Nifty 50 ending below 24,200 amid continued weakness in heavyweight stocks. According to latest data, the Sensex was down 238 points, or 0.3% at 77,436.01, while the Nifty 50 declined 0.4% to 24,174.80 as of 2:15 PM IST. Despite the broader market decline, market breadth remained slightly positive with NSE seeing 1,805 advances against 1,503 declines, while 127 stocks remained unchanged. The overall market sentiment reflected cautious investor approach amid ongoing geopolitical uncertainties and mixed quarterly earnings results.
Sectoral performance remained largely positive with Nifty Realty and Nifty Auto leading gains, rising more than 1% each to lead sectoral strength. The Nifty IT and Nifty PSU Bank indices declined nearly 1% each, while Nifty Pharma, Nifty FMCG, and Nifty Media also traded in the green. This broad-based strength across different segments continued to reflect selective buying interest, with buying interest led by cement, chemicals and financial services stocks as investors monitored corporate earnings for signs of how geopolitical tensions are affecting businesses. The mixed performance across sectors indicated a cautious but resilient market approach.
Among individual stocks, TVS Motor shares jumped 5% after reporting exceptional Q1 FY27 results with net profit soaring 67% YoY to ₹1,019 crore and revenue rising 33.5% to ₹16,295.52 crore. Paytm gained 2.7% to ₹1,383 after reporting a 79% YoY jump in consolidated net profit to ₹220 crore for the first quarter. SBI Funds Management made a strong debut, listing at a 6.80% premium following its ₹9,813 crore IPO - the largest of 2026 so far which was subscribed 41.66 times. However, large private sector banks came under pressure with Axis Bank plunging 5.4% and HDFC Bank falling 5.1% after their June-quarter earnings highlighted continued stress on profitability. Punjab National Bank extended gains, rising more than 7% following its strong Q1 earnings that led to bullish brokerage calls.
Geopolitical tensions continued to weigh on market sentiment with escalating conflicts in the Middle East. Oil prices edged lower on Tuesday as investors weighed reports of renewed diplomatic efforts between the United States and Iran against fresh military exchanges in the region. Brent crude is expected to average $80 a barrel in Q4 and $75 next year, assuming tensions ease, according to Goldman Sachs, though risks remain "tilted to the upside" due to potential disruptions through the Strait of Hormuz. Yemen's Houthi rebels threatened to impose a naval blockade on Saudi Arabia, adding to market concerns about supply disruptions. These tensions contributed to the cautious investor approach and limited appetite for equities despite some selective buying in financial and auto stocks.
For the remainder of the session, traders will watch whether the Nifty holds the 24,030 to 24,050 support zone, with immediate resistance placed around 24,260 to 24,280. Stock-specific action may remain high as more June quarter results are announced, while crude oil and Middle East developments could continue to influence risk appetite. Global cues offered little directional support with the S&P 500 ending marginally lower as investors monitored signs of easing tensions in the Middle East while awaiting earnings from major technology companies. The market's resilience despite geopolitical uncertainties suggests underlying strength, though investors remain cautious about potential volatility in oil prices and their impact on corporate margins.
