Mumbai: The Indian stock market saw a pause in its recent rally as benchmark indices Sensex and Nifty 50 ended lower on Wednesday, October 8, amid profit booking ahead of the second-quarter earnings season.
The Sensex slipped 153 points (0.19%) to close at 81,773.66, while the Nifty 50 fell 62 points (0.25%) to end at 25,046.15. Broader indices underperformed, with the BSE Midcap index down 0.74% and the Smallcap index falling 0.42%.
The overall market capitalisation of BSE-listed companies dropped by more than ₹2 lakh crore in a single session — from ₹460 lakh crore in the previous trading day to ₹458 lakh crore.
Why Did the Market Fall Today?
Analysts attributed the decline to profit booking and investor caution ahead of Q2 corporate earnings, beginning with Tata Consultancy Services (TCS), which will report its results on October 9.
Weaker global cues and a lack of fresh domestic triggers also weighed on sentiment.
“National indices witnessed a volatile session, tempered by profit booking after a sharp rally. Investor caution dominated ahead of the Q2 earnings season as participants reassessed valuations and growth prospects,”
said Vinod Nair, Head of Research at Geojit Financial Services.
He added that attention now turns to the US Federal Reserve’s September FOMC minutes, which could indicate future policy moves. “Market focus will soon shift to domestic earnings, macroeconomic data, and festive season trends,” Nair noted.
Top Nifty 50 Gainers
| Company | % Change |
|---|---|
| Titan Company | +4.29% |
| Infosys | +2.30% |
| TCS | +1.94% |
These stocks benefited from strong business outlooks and pre-result optimism in the IT and consumer sectors.
Top Nifty 50 Losers
| Company | % Change |
|---|---|
| Tata Motors | -2.54% |
| Mahindra & Mahindra | -1.94% |
| Jio Financial Services | -1.68% |
As many as 36 of the 50 Nifty components ended the session in the red, reflecting broad-based weakness across auto, financial, and metal stocks.
Investor Wealth Erosion
The session wiped out over ₹2 lakh crore in investor wealth as the BSE’s total market capitalisation dipped below ₹458 lakh crore. Analysts say the market could remain volatile in the short term as traders await corporate earnings and global central bank cues.
Outlook
Market participants expect near-term consolidation, with focus on:
- Q2 earnings from major IT and banking firms
- US bond yield movement
- Inflation data and festive season demand
Experts believe that while short-term corrections are likely, the medium-term outlook for Indian equities remains positive, backed by strong macro fundamentals and robust domestic liquidity.
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