Market opens lower amid weak global cues

The domestic equity benchmarks traded with moderate losses in early trade on Wednesday, weighed down by weak global cues. Renewed strength in crude oil prices and a sharp rise in global bond yields dampened investor sentiment. The Nifty traded below the 24,100 level, while selling pressure was visible in realty, metal and consumer durables stocks. On the other hand, IT, FMCG and pharma shares edged higher.

At 09:30 IST, the barometer index, the S&P BSE Sensex declined 159.90 points or 0.20% to 77,078.56. The Nifty 50 index lost 56 points or 0.23% to 24,099.05.

In the broader market, the BSE 150 MidCap Index declined 0.38% and the BSE 250 SmallCap Index fell 0.27%.

 

The market breadth was negative. On the BSE, 1,387 shares rose and 1,629 shares fell. A total of 196 shares were unchanged.

Foreign portfolio investors (FPIs) bought shares worth Rs 1,651.53 crore, while domestic institutional investors (DIIs) were net buyers to the tune of Rs 2,579.31 crore in the Indian equity market on 18 August 2026, according to provisional data.

Numbers to Track:

The yield on India's 10-year benchmark federal paper was shed 0.07% to 6.826 as compared with 6.831 previous sessions close.

In the foreign exchange market, the rupee edged lower against the dollar. The partially convertible rupee was hovering at 95.7375 compared with its close of 95.7450 during the previous trading session.

MCX Gold futures for 5 October 2026 settlement slipped 0.11% to Rs 1,54,093.

The US Dollar Index (DXY), which tracks the greenback's value against a basket of currencies, was down 0.06% to 99.49.

The United States 10-year bond yield lost 0.38% to 4.688.

In the commodities market, Brent crude for October 2026 settlement gained 52 cents or 0.57% to $91.54 a barrel.

Stocks in Spotlight:

Exide Industries shed 0.18%. The company infused an additional Rs 1,999 crore into its wholly owned subsidiary, Exide Energy Solutions (EESL), in one or more tranches, to support the establishment of a greenfield multi-gigawatt lithium-ion cell manufacturing facility in India. With this infusion, the total investment in EESL stands at Rs 5,102.23 crore.

Balkrishna Industries (BKT) slipped 0.45%. The companys board approved the allotment of 55,000 debentures of face value Rs 1 lakh each, aggregating to Rs 550 crore, through private placement in multiple tranches.

Hindustan Zinc declined 1.03%. The company announced that it has increased the share of renewable power in its current overall power consumption to 22%, up from approximately 18% in FY26, marking continued progress in its clean energy transition.

Global Markets:

Asian indices traded lower on Wednesday after a sharp selloff in US technology and semiconductor stocks, while elevated Treasury yields and rising oil prices added to pressure on risk assets. Investors scaled back exposure to richly valued growth stocks as higher borrowing costs, inflation concerns and geopolitical tensions clouded the outlook.

South Korea's KOSPI fell more than 5%, with semiconductor heavyweights SK Hynix and Samsung Electronics tumbling sharply. The sharp decline triggered a temporary halt on program selling, known as a "sidecar", designed to provide a brief pause when markets experience sharp moves.

Rising bond yields added to the pressure. The US 30-year Treasury yield climbed to around 5.3%, its highest level since 2007, while the 10-year yield approached 4.72%. Higher long-term yields increase the discount rate applied to future corporate earnings, putting pressure on richly valued growth and technology stocks.

The semiconductor selloff also reflected growing caution over valuations across the AI trade and the scale of investment in AI infrastructure. The Philadelphia Semiconductor Index fell 5% on Tuesday, with Nvidia, Micron Technology and other chip-related stocks among the major decliners.

Higher oil prices added to inflation concerns. Brent crude was trading around $91-$92 a barrel on Wednesday as uncertainty over crude exports through the Strait of Hormuz persisted amid escalating tensions between the US and Iran.

Investors will also focus on minutes from the US Federal Reserve's July meeting, due on Wednesday, for clues on policymakers' thinking. The release comes as Fed Chair Kevin Warsh has adopted a more limited communication approach.

US stocks ended lower on Tuesday, led by losses in semiconductor and technology shares as rising Treasury yields and Middle East tensions weighed on sentiment.

The Dow Jones Industrial Average declined 116.38 points, or 0.22%, to 53,343.40, while the S&P 500 dropped 53.30 points, or 0.69%, to 7,691.76. The Nasdaq Composite fell 355.20 points, or 1.33%, to 26,289.71.

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