Indian Markets Open Weak: Sensex Sheds 557 Points on IT Selloff

Indian equities opened sharply lower on Tuesday, extending losses triggered by subdued U.S. market performance overnight. The Sensex plunged 557 points to 82,737.52 by mid-morning, while Nifty retreated below 25,600 amid a brutal IT sector rout.

Starting the day down 71 points at 25,641.80, Nifty soon erased gains from the prior session's 100-point gap-up open. Broad market weakness prevailed, with BSE Midcap 150 down 0.5% and Smallcap 250 off 0.6%. Every Nifty index traded in the red, underscoring the pervasive bearish sentiment.

IT emerged as the biggest casualty, plummeting 3.34% as investors rotated out of tech amid global headwinds. Auto dipped 0.54%, FMCG 0.48%, and banks a marginal 0.12%. Sensex constituents showed stark divides: top losers included HCL Tech, IndiGo, Infosys, TCS, Airtel, and Tech Mahindra, while SBI, Asian Paints, Axis Bank, Power Grid, Tata Steel, and Kotak eked out gains.

FIIs staged a comeback yesterday, netting ₹3,843 crore in purchases after recent outflows, becoming monthly net buyers. DIIs countered by selling ₹1,292 crore. Despite this, experts urge restraint. 'Global uncertainties demand a cautious, stock-picking strategy,' says a veteran trader.

From a technical lens, Nifty's path upward is blocked by 25,850-25,900 resistance. A drop below 25,550-25,600 could accelerate downside. Fundamentals should guide picks during corrections—avoid chasing rallies. True bullish momentum awaits a decisive break above 26,000, paired with robust risk controls.