Final Trade: Final Trade: Sensex sinks 821 pts, Nifty at 5-month low as weak earnings batter investor sentiment

Indian markets started strong but ended sharply lower on November 12 as earnings disappointments and demand concerns dragged indices to a 5-month low. 

The Sensex tumbled 821 points, or 1.03 per cent, to close at 78,675. The Nifty fell 258 points, or 1.07 per cent, ending at 23,883. Broad-based selling across sectors saw 44 out of 50 Nifty stocks close in the red.

Meanwhile, the NSE Nifty50 paused at a low of 24,000, down by 205.35 points to 23,935.95 at 2:15 PM.

In today's session, banking and auto sectors were the biggest laggards, pulling the indices into negative territory. Investors remain cautious ahead of key inflation data releases expected later in the day, adding to the downward pressure.

Among Nifty 50 constituents, Trent led the gainers' list with a rise of 1.47 per cent, followed by HCL Technologies, up by 0.94 per cent. IT giants Infosys and Sun Pharma posted gains of 0.85 per cent and 0.71 per cent, respectively, showing some resilience amid the sell-off. Reliance Industries also edged higher, adding 0.44 per cent.

Key highlights:

1. Earnings hit market sentiment: Stocks like Britannia and Samvardhana Motherson tanked on weak Q2 results. Britannia plunged by nearly 8 per cent as concerns over volume pressure persisted, while Motherson declined 5 per cent after missing estimates. Bosch also slipped 5 per cent ahead of its earnings release.

2. Sectoral declines: All sectoral indices closed with losses. FMCG stocks led the fall, with the Nifty FMCG index down by 2 per cent amid demand concerns. Auto and PSU stocks also faced heavy selling pressure.

3. Mixed midcap performance: While midcap stocks like Jubilant Food and Ramco Cements surged 5-6 per cent on better-than-expected Q2 earnings, others like MCX, HAL, GAIL, and Navin Fluorine were among the top decliners.

4. Limited gainers: Amid the broader market selloff, Trent, Infosys, and Sun Pharma managed modest gains, each rising by less than half a per cent.

5. Market breadth weak: Declines outpaced advances heavily, with an advance-decline ratio of 1:4, reflecting the broad-based weakness in the market.

The overall market sentiment remains cautious, with analysts pointing to continued pressure from weak earnings and sector-specific demand issues. Investors are looking ahead to upcoming results and macroeconomic cues for further direction.