FX.co ★ India Shares Extend Weakness

Indian equities experienced a sharp drop on Tuesday, declining by 878 points or 1.1% to 76,544 in early trading sessions. This marked the second consecutive day of losses as investors engaged in profit-taking following a holiday break, amid prevailing uncertainty in global trade dynamics. Investor caution was palpable as the market awaited the impending announcement of U.S. tariffs. The BSE Sensex reached its lowest point in nearly two months, mirroring the decline in Wall Street's Nasdaq on Monday, spurred by heightened concerns over international conflicts. Nonetheless, the downward momentum was somewhat tempered by encouraging data from China's manufacturing sector, which saw its most robust growth in four months. Specifically, official reports indicated the manufacturing industry in China expanded at its fastest rate within the past year. Despite this mitigating factor, nearly all sectors remained in negative territory, with real estate stocks bearing the heaviest losses, followed by the technology, financial services, and consumer durables sectors. Notable declines were recorded in Infosys, which fell 2.8%, HDFC Bank dropped 2.0%, Axis Bank decreased by 1.9%, TCS lost 1.8%, and Sun Pharmaceuticals dipped by 1.6%.