FX.co ★ India Equities Extend Losses

The BSE Sensex experienced a decline of 208 points, equivalent to a 0.2% drop, bringing the index to 83,419 during Wednesday morning trading. This marked its second consecutive session of losses and the lowest level reached since November 7. Contributing factors included ongoing foreign capital outflows and elevated oil prices, which stoked fears regarding domestic inflation. On Tuesday, foreign investors offloaded Indian equities amounting to INR 15 billion (approximately USD 166 million), according to preliminary data. Meanwhile, market participants kept a close eye on US-India trade discussions amidst increasing geopolitical tensions, which further dampened market sentiment. Nevertheless, expectations of stable corporate earnings growth helped cushion the decline. Most sectors witnessed negative performances, notably technology, banking, automotive, healthcare, pharmaceuticals, and financial services. Among the top underperformers were Tata Consultancy Services (-1.8%), Asian Paints (-1.6%), Kotak Mahindra (-1.4%), Sun Pharmaceutical Industries (-1.1%), and Hindustan Unilever (-1.0%).