Sensex Recovers 250 Points from Day's Low, Nifty Crosses 25,400: Factors Fuel Market Turnaround

Market Update: Indian Equities Trim Losses Amid Value Buying

On Tuesday, the Indian equity benchmark indices, Sensex and Nifty, experienced a sharp decline in the early session, but managed to trim losses in the afternoon trade. The Sensex plummeted to an intraday low of 81,934.73, a decline of 1,360 points or 1.63 percent. The broader Nifty dropped to 25,327.60, down 385 points or 1.5 percent.

The initial decline was led by information technology shares, driven by concerns over AI-led disruption. However, by 2:15 pm, the Sensex had recovered to 82,286.88, down 1,007.77 points or 1.21 percent, while the Nifty was trading at 25,433.65, lower by 279.35 points or 1.09 percent.

The recovery was driven by value buying in metal, pharma, and PSU bank stocks, which helped the benchmarks to trim losses. Foreign Institutional Investors (FIIs) also supported the market by buying equities worth Rs 3,483.70 crore on Monday. This sustained buying by overseas funds improved liquidity and supported market sentiment.

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Globally, Wall Street futures were trading flat, following a decline in US equities overnight. The US markets had dropped nearly 2 percent after Donald Trump cautioned countries against abandoning newly negotiated trade deals. The remarks also indicated that higher duties could be imposed under other trade laws.