Indian shares experienced a significant decline at the start of trading on Monday, influenced by mixed global signals and escalating geopolitical tensions involving Israel, Lebanon, and Iran.
The benchmark S&P BSE Sensex dropped by 692 points, equating to a 0.8 percent decrease, reaching 84,879 in early trading. Similarly, the broader NSE Nifty index fell by 202 points, or 0.8 percent, landing at 25,976.
Notable decliners included private sector banks like ICICI Bank and Axis Bank, each falling approximately 2 percent.
Public sector undertakings (PSU) stocks were also subjected to selling pressure, with Coal India and Bharat Electronics Limited (BEL) each experiencing a decline exceeding 2 percent.
Automotive companies such as Hero MotoCorp, Bajaj Auto, Tata Motors, and Maruti Suzuki India saw their shares drop between 1-3 percent ahead of releasing their September sales figures.
Conversely, metal stocks saw an uptick following policy changes in China. Three of China’s largest cities relaxed their rules for homebuyers, and the People's Bank of China adjusted the mortgage rate pricing mechanism to alleviate financial burdens on homeowners. As a result, Tata Steel, JSW Steel, and Hindalco gained between 1.6 percent and 2 percent.
Reliance Infrastructure rose by 1.3 percent following a Calcutta High Court order for the release of a Rs 600 crore bank guarantee.
Biocon saw a nearly 2 percent drop after the U.S. Food and Drug Administration (FDA) issued four observations regarding its Bengaluru Active Pharmaceutical Ingredient (API) facility.
Punjab National Bank declined 1 percent after raising Rs 5,000 crore through a Qualified Institutional Placement (QIP) to institutional investors.
Welspun Enterprises saw a 1 percent increase after being named the lowest bidder for a Rs 1,989.9 crore project from the Brihanmumbai Municipal Corporation.
Meanwhile, REC Limited decreased by 1.5 percent after raising $500 million through green dollar bonds.
