The benchmark indices closed lower on Thursday, marking their sixth consecutive session of decline, as selling pressure persisted in FMCG and oil & gas stocks, while the auto and realty sectors showed resilience.
The BSE Sensex fell 110.64 points or 0.14 per cent to close at 77,580.31, while the NSE Nifty 50 declined 26.35 points or 0.11 per cent to end at 23,532.70, recording its worst decline since October 7.
Among individual stocks, Eicher Motors emerged as the top gainer on the NSE, surging 6.59 per cent following positive Q2 results and its future outlook. Other major gainers included Hero MotoCorp (2.06 per cent), Grasim Industries (1.25 per cent), Kotak Mahindra Bank (1.23 per cent), and HDFC Life Insurance (1.20 per cent).
The FMCG sector faced significant pressure, with Hindustan Unilever leading the losses, dropping 2.92 per cent. Other major decliners included BPCL (-2.50 per cent), Britannia Industries (-2.47 per cent), Tata Consumer Products (-2.35 per cent), and Nestle India (-2.11 per cent).
The market breadth remained positive with 2,145 stocks advancing and 1,813 declining on the BSE. The session saw 141 stocks reaching 52-week highs, while 155 touched their 52-week lows. Trading volumes remained subdued, with cash market volumes on the NSE near 6-month lows.
Vinod Nair, Head of Research at Geojit Financial Services, noted, “Today the domestic market experienced lacklustre trading, but some stability was observed throughout from the low of the day. The sustainability of this trend remains uncertain as FIIs continue to be on the selling side. But on a positive note, the degree of selling is reducing.”
The market’s weakness was further compounded by macroeconomic concerns. India’s trade deficit widened to $27.14 billion in October from $20.78 billion in September, exceeding Bloomberg economists’ estimates. Merchandise exports rose 17.25 per cent year-on-year to $39.2 billion, while imports increased by 3.9 per cent to $66.34 billion.
Adding to the concerns, wholesale inflation, measured by the Wholesale Price Index, rose to 2.36 per cent, with food prices increasing 11.59 per cent during October, compared to 9.47 per cent in September.
Deepak Jasani, Head of Retail Research at HDFC Securities, commented, “Shares fell in Asia on Thursday after a dull finish on Wall Street, following a report that showed inflation rose in the US last month. A stronger dollar tends to put a strain on other economies.”
Foreign institutional investors (FIIs) continued their selling streak for the 33rd consecutive session, with outflows reaching approximately ₹27,600 crore in November, following record outflows of ₹1.14 lakh crore in October.
Looking ahead, Gaurav Garg, Research Analyst at Lemonn Markets Desk, said, “Next week, investors will digest key macro data ranging from flash PMI surveys to bank deposit and loan growth, to assess the impact and extent of growth moderation in the domestic economy.”
The Nifty Bank index closed at 50,179.55, up 0.18 per cent, while the Nifty Financial Services index gained 0.27 per cent to end at 23,200.30. The Nifty Next 50 and Nifty Midcap Select indices showed resilience, gaining 0.46 per cent and 0.24 per cent, respectively.