The Sensex fell 172 points to close at 77,369, while the Nifty slipped 33 points to settle at 24,219. The Nifty Bank index declined 236 points to 57,526, whereas the Nifty Midcap index gained 82 points to end at 63,817.
Financials drag benchmarks
Financial stocks remained one of the biggest drags on the market, with most PSU banks ending lower. Bank of Baroda and Canara Bank were among the top losers in the segment, while SBI Life, Bajaj Finance and Bajaj Finserv also featured among the biggest drags on the Nifty. Tata Motors Passenger Vehicles was another notable loser.
Despite the weakness in financials, the Nifty managed to hold above the 24,200 mark, with 20 of its constituents ending higher.
Metals provide support
Metal stocks helped limit the decline in the benchmark indices, with Hindalco and JSW Steel among the top Nifty gainers. The strength in metal counters provided some cushion as selling pressure in financial stocks weighed on the broader market.
Midcaps outperform
The midcap segment held up better than the frontline indices, with the Nifty Midcap index gaining 82 points to close at 63,817. Market breadth remained largely neutral, with Siemens, SAIL and Glenmark Pharma among the notable midcap gainers.
Stock-specific action remains strong
Stock-specific developments continued to drive sharp moves across the market.
Vishal Mega Mart surged 10% after the company reappointed its CEO for another five-year term, while Urban Company gained 6% following another positive brokerage note.
Shanti Gears extended its recent rally and has now gained around 50% in two sessions after its promoter increased its stake.
On the other hand, BLS International fell 11% amid scrutiny linked to the Schengen visa probe. The company has denied the allegations.
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Gold financiers gain; defence, sugar stocks mixed
Gold financiers were among the notable gainers as gold prices rose, with Muthoot Finance and Manappuram Finance gaining between 2% and 6%.
Defence stocks ended mixed, with Cochin Shipyard gaining while HAL declined. Sugar stocks, meanwhile, faced selling pressure, with most counters ending lower. Balrampur Chini fell around 5%.
In another stock-specific development, Oriental Hotels gained around 2% after Indian Hotels announced plans to merge the company with itself.
Overall, the session was marked by weakness in financial stocks, support from metals and strong stock-specific action, while midcaps outperformed the frontline indices.
