Sensex and Nifty Suffer Losses Amid Market Uncertainty

Indian benchmark indices Sensex and Nifty extended losses for the second consecutive session, hit by concerns over US tariffs on Iran-linked trade. Metals and PSU Banks sectors experienced gains, while the broader market saw cautious trading amid uncertainty in India-US trade and anticipation of US rate cuts.

The Indian stock market's primary indices, Sensex and Nifty 50, witnessed a continued downtrend on Wednesday, closing at a loss for the second day in a row. The Sensex fell by 245 points or 0.29% to conclude at 83,382.71, whereas the Nifty 50 declined by 67 points or 0.26%, settling at 25,665.60.

Sectoral indices saw a decline overall, although notable gains were recorded in the Nifty Metal (2.70%) and PSU Bank (2.13%) sectors. The decline was primarily attributed to the prevailing pressures from new 25% US tariffs targeting countries trading with Iran, initiating a negative market opening.

Shrikant Chouhan, head of equity research at Kotak Securities, indicated a range-bound market activity, with profit booking observed in the lower and upper brackets. Meanwhile, hopes rekindled as India-U.S. trade negotiations resumed amid geopolitical concerns. Technical expert Vatsal Bhuva from LKP Securities noted the index's consolidation above breakout levels, signaling a need to regain momentum for significant advancement.

(With inputs from agencies.)