​In early Wednesday trade, India’s benchmark indices, Sensex and Nifty, declined significantly due to selling pressure on banking stocks and weak cues from Asian markets. The BSE Sensex slipped 366.53 points to 80,002.50, while the NSE Nifty fell 129.25 points, resting at 24,337.60.

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Key laggards within the Sensex included Sun Pharma, ICICI Bank, Axis Bank, Bajaj Finserv, and SBI, as investor sentiment remained cautious. On the upside, stocks like Maruti, Tata Motors, IndusInd Bank, and Larsen & Toubro posted modest gains.

The auto, FMCG, realty, capital goods, metal, and power sectors displayed buying interest, balancing out some of the negative market sentiment. Conversely, banking and pharma sectors experienced noticeable selling, dampening broader market performance. Midcaps and small caps performed robustly, with the BSE Midcap index gaining 0.5 percent and the Smallcap index climbing by 1.5 percent, showcasing resilience in mid- and small-cap stocks.

Foreign Institutional Investors (FIIs) sold shares worth ₹548.69 crore on Tuesday, though this decline was less steep than in recent sessions, potentially signaling a slowdown in the “Sell India, Buy China” trend, according to V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services. Increased DII and retail investor activity could lend stability, particularly with the festive season boost. However, Vijayakumar noted that softer Q2 earnings may curb longer-term market gains.

Across Asian markets, Seoul, Shanghai, and Hong Kong experienced declines, while Tokyo posted gains. Additionally, Brent crude edged up 0.48 percent to $71.46 per barrel.