India’s BSE Sensex slipped 0.4% to close at 74,346.2 on Wednesday, erasing Tuesday’s gains, as sentiment weakened amid uncertainty over US-Iran negotiations, a renewed spike in crude oil prices, and persistent foreign fund outflows. Escalating tensions have rekindled concerns that talks could be delayed or even collapse, potentially extending disruptions in energy supplies. Adding to the cautious mood, investors stayed on the sidelines ahead of the RBI’s upcoming policy decision.
On the macro front, there was a positive surprise: final PMI figures showed growth in India’s services sector quickening to a six-month high in May, beating the initial estimates.
In equities, technology stocks came under heavy profit-taking after their recent rally. TCS led the declines, tumbling 8.4%, followed by Tech Mahindra (-6.2%), HCL Tech (-5.3%), and Infosys (-3.8%). Other notable laggards included ITC (-2.2%), Eternal (-1.5%), and L&T (-1.2%).
On the upside, IndiGo outperformed, climbing 1.6% after the Indian Cabinet approved a 100 billion rupee ($1.05 billion) fuel stabilisation fund.
