Indian stocks ended lower on Tuesday, November 18, with both benchmark indices slipping over 0.30% as a sharp sell-off in metals and tech stocks dragged the market down. Although select heavyweights provided some support, it wasn’t enough to offset the broader weakness, bringing an end to the Indian market’s six-day winning streak.
The sharp rise in the US Dollar index triggered profit booking in both metal and tech stocks, leading to a 0.47% drop in the Nifty 50 to 25,892, while the S&P BSE Sensex slipped 0.33% to close at 86,673.
The broader market closed with even deeper cuts, with the Nifty Midcap 100 falling 0.60% and the Nifty Smallcap 100 index dropping more than 1%.
Global sentiment turned weak as fading expectations of a Federal Reserve rate cut next month weighed on investor appetite ahead of delayed U.S. economic data releases scheduled for this week.
The prolonged US government shutdown, which ended last week, had resulted in a suspension of key economic data, leaving policymakers and traders navigating without vital indicators ahead of next month’s Fed policy meeting.
Hopes that the resumption of data releases would strengthen the case for a December rate cut dimmed further after more Fed officials signalled caution.
Markets are now awaiting a slew of delayed U.S. data releases this week, including September jobs data and the minutes from the Fed’s most recent meeting—where it cut rates by 25 basis points, due on Wednesday.
Mid and small-cap stocks sink as selling pressure intensifies
Transformers & Rectifiers shares resumed their decline after a two-day pause, falling 8% to ₹308.80 apiece.
Extending its losing streak to the sixth consecutive session, Kaynes Technology slipped another 5.6% to ₹5,890 after the expiry of its lock-in period, which made 11.6 million shares eligible for trading.
Meanwhile, snapping a five-day winning run, Reliance Infrastructure witnessed profit booking, dropping 5% to ₹179.67 apiece. The sell-off in SKF India also deepened, with the stock slipping 4.40% to ₹1,976 apiece.
Shares of One97 Communications Ltd, the parent of Paytm, fell 3% to ₹1,295 apiece following a large block deal in which reportedly 1.32 crore shares, amounting to 2.07% of the company’s equity, changed hands.
Among other stocks, Honasa Consumer declined 3.6% to ₹288.1 apiece, while Narayana Hrudayalaya came under profit booking, sliding 3% to ₹1,951.70 apiece after a sharp 15% rally in the previous session.
Other key losers, including OneSource Specialty, Netweb Technologies, Zen Technologies, Ceat, CCL Products India, Anand Rathi Wealth, and Birlasoft, also closed lower, shedding between 3% and 3.5%.
Paint, banking and consumption plays defy market trend
Despite the Indian stock market ending with heavy losses, a few stocks managed to buck the trend. Bombay Burmah Trading Corporation led the gainers’ list, jumping 10% to ₹2,022, marking its strongest single-day rise in recent months.
GMR Airports was another notable mover, rallying 6.2% to ₹103.72 apiece, followed by Sapphire Foods India, Graphite India, Devyani International, Praj Industries, KPR Mill, Ather Energy, and Kirloskar Oil Engines, all of which gained over 3%.
Meanwhile, select banking counters, Federal Bank, Axis Bank, Bank of Maharashtra, and UCO Bank, also posted healthy gains of over 1%. Paint companies such as Akzo Nobel India, Berger Paints, and Asian Paints advanced between 0.6% and 1.6%.
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