Indian benchmark indices witnessed sharp selling pressure on Wednesday, with Sensex declining 293.37 points or 0.39% to 74,356.47 and Nifty 50 falling 56.86 points or 0.24% to 23,426.50 as of 14:30 IST. The broader market underperformed significantly, with BSE 150 MidCap Index falling 0.51% and BSE 250 SmallCap Index shedding 0.08%. Market breadth remained severely negative with 1,648 shares rising and 2,466 shares falling on the BSE, while 194 shares remained unchanged. The decline was attributed to uncertainty over US-Iran peace deal developments, rising crude oil prices, and massive foreign institutional investor selling, with India VIX rallying 7.03% to 16.44 indicating increased investor caution. TCS, Infosys and other IT stocks lost up to 8% during the broader market selloff.
The banking sector experienced its most severe selling pressure with Nifty Bank index plunging over 1.2% or 626 points to 53,089 as of 12:10 pm, marking a sharp reversal from Tuesday's session when it closed in the green. AU Small Finance Bank and IndusInd Bank led the losses, falling around 3%, while IDFC First Bank, Yes Bank and State Bank of India (SBI) declined about 2% each. Other major banks including Canara Bank, Union Bank of India, Punjab National Bank (PNB), Federal Bank, Bank of Baroda and Kotak Mahindra Bank fell around 1% each. Heavyweight private lenders ICICI Bank, Axis Bank and HDFC Bank also traded in the red with marginal losses. This sector-specific weakness contrasted with the broader market's modest decline, highlighting investor concerns about banking stocks.
The media sector experienced significant selling pressure with Nifty Media index dropping 1.20% to 1,412.05, reversing gains from the past two consecutive trading sessions when it had added 1.48%. Network 18 Media & Investments declined 2.87%, Saregama India fell 1.73%, Tips Music dropped 1.72%, Nazara Technologies declined 1.71%, Hathway Cable & Datacom shed 1.22%, Zee Entertainment Enterprises fell 1.01%, Sun TV Network dropped 0.86%, and PVR Inox declined 0.86%. This sector-specific weakness added to the broader market decline, with media stocks leading the losses across all sectors.
Several stocks remained in focus despite broader market weakness, with Concord Biotech shares soaring more than 8% after the pharmaceutical company received approval from the US Food and Drug Administration (FDA) for its latest Mycophenolate Mofetil drug. NHPC gained as much as 5.37% to hit an intraday high of ₹76.17 as the company's offer for sale (OFS) opened for retail investors, with the government planning to sell up to 6% stake at a floor price of ₹71 per share. InterGlobe Aviation declined nearly 2% after announcing discontinuation of flights to Manchester from August 31, less than a year after launching services. DEE Development Engineers jumped over 4% as its board approved issuance of equity shares worth ₹300 crore on preferential basis, while Bajel Projects rose 4.12% after securing mega EHV substation EPC orders worth ₹300-400 crore from a datacenter client in Mumbai.
In the commodities market, Brent crude for July 2026 settlement jumped $2.28 or 2.38% to $98.28 a barrel, reflecting rising energy prices amid geopolitical tensions. MCX Gold futures for 5 June 2026 settlement lost 0.61% to ₹154,600. The US Dollar Index (DXY) was up 0.19% to 99.36, while the United States 10-year bond yield added 0.63% to 4.485. The yield on India's 10-year benchmark federal paper rose 0.37% to 7.043 compared with the previous session close of 7.017. In the foreign exchange market, the rupee edged lower against the dollar, hovering at 95.7900 compared with its close of 95.3650 during the previous trading session.
