Indian benchmark equity indices extended their decline on Monday amid rising geopolitical tensions and continued uncertainty over the India–US trade deal.
As of 9.22 a.m., the Sensex slipped 95 points, or 0.44 per cent, to 83,212, while the Nifty eased 95 points, or 0.37 per cent, to 25,588.
Broader market indices moved largely in line with the benchmarks. The Nifty Midcap 100 was down 0.33 per cent, while the Nifty Smallcap 100 declined 0.57 per cent.
Barring metal and FMCG stocks, all sectoral indices were trading in the red, with pharma, realty and media indices falling more than 1.4 per cent each.
Uncertainty surrounding the India–US trade negotiations has weighed on sentiment, with recent comments from the US administration adding to market nervousness. Global concerns, including developments related to Venezuela, Iran, and US President Donald Trump’s statements on Greenland, have also unsettled investors, pushing up the India VIX and signalling heightened volatility.
Investors are also awaiting a ruling from the US Supreme Court on the legality of Trump-era tariffs, which was expected last week but did not materialise.
In the near term, market direction is likely to be influenced by third-quarter earnings and management commentary from technology majors and large banking stocks.
Asian markets traded higher during the morning session, tracking gains on Wall Street last week after a US jobs report showed a decline in the unemployment rate, indicating resilience in the labour market.
In the Asia-Pacific region, China’s Shanghai Composite rose 0.75 per cent and Shenzhen climbed 1.31 per cent. Japan’s Nikkei advanced 1.61 per cent, Hong Kong’s Hang Seng gained 0.74 per cent, and South Korea’s Kospi added 1.08 per cent.
US markets ended mostly higher in the previous session, with the Nasdaq rising 0.82 per cent, the S&P 500 gaining 0.65 per cent, and the Dow Jones Industrial Average moving up 0.48 per cent.
On January 9, foreign institutional investors sold equities worth a net Rs 8,808 crore, while domestic institutional investors were net buyers to the tune of Rs 15,700 crore.
— IANS
