Why did Sensex, Nifty erase gains to settle lower today?
Among the major Sensex laggards were Bharti Airtel Ltd, Reliance Industries Ltd (RIL), Larsen & Toubro Ltd (L&T), Infosys Ltd, Mahindra & Mahindra Ltd (M&M), NTPC Ltd, Tata Consultancy Services Ltd (TCS), Power Grid Corporation of India Ltd and Sun Pharmaceutical Industries Ltd.
- Aug 26, 2026,
- Updated Aug 26, 2026 4:25 PM IST
Indian equity benchmarks reversed their early gains and ended lower on Wednesday after a volatile trading session. The 30-share BSE Sensex pack fell 183.15 points or 0.24 per cent to settle at 77,472.94, while the NSE Nifty50 index declined 126.80 points or 0.52 per cent to close at 24,207.75.
Sectoral performance remained mixed. Metal stocks emerged as the top performer, followed by banking and pharma, while IT and FMCG stocks faced pressure. In the broader market, Nifty Midcap index shed 0.10 per cent, whereas Nifty Smallcap gained 0.81 per cent.
Among the major Sensex laggards were Bharti Airtel Ltd, Reliance Industries Ltd (RIL), Larsen & Toubro Ltd (L&T), Infosys Ltd, Mahindra & Mahindra Ltd (M&M), NTPC Ltd, Tata Consultancy Services Ltd (TCS), Power Grid Corporation of India Ltd and Sun Pharmaceutical Industries Ltd.
Vinod Nair, Head of Research at Geojit Investments, said the domestic market gave up its early gains as sectoral divergence weighed on the benchmarks.
"Inflation concerns receded on tempered US sanctions on Iran, easing domestic bond yields and lifting banking stocks, while metals gained on better realisation prospects," Nair said.
However, he noted that these gains were offset by weakness in IT stocks after the US paused visa appointments amid an immigration crackdown, raising concerns over margin pressure. Investors are also awaiting the US Core PCE data for further clarity on the interest-rate outlook, he said.
Ajit Mishra, SVP (Research) at Religare Broking, said the benchmarks ended lower after failing to sustain their early gains. He attributed the reversal to profit booking in heavyweight stocks and resistance at higher levels.
Mishra also said easing crude prices and global bond yields improved global risk sentiment, supporting a largely stable trend in the broader market.
Hariselvan Radhakrishnan, Founder & CEO of HST Wealth, pointed to sectoral rotation during the session, with investors shifting towards financials and the broader market while technology and consumer stocks remained under pressure. He said this lifted Nifty Midcap 100 to a record high even as the benchmark indices remained range-bound.
Nifty outlook
Rupak De, Senior Technical Analyst at LKP Securities, said Nifty continued to trade in a range, with selling emerging at higher levels.
"A fall below 24,130 could trigger a serious correction, potentially dragging the index towards 23,900 and 23,700. On the higher end, a rock-solid resistance is placed at 24,350. Only a sustained move above 24,350 could change the current perception. Until then, choppiness is likely to prevail," De stated.
Indian equity benchmarks reversed their early gains and ended lower on Wednesday after a volatile trading session. The 30-share BSE Sensex pack fell 183.15 points or 0.24 per cent to settle at 77,472.94, while the NSE Nifty50 index declined 126.80 points or 0.52 per cent to close at 24,207.75.
Sectoral performance remained mixed. Metal stocks emerged as the top performer, followed by banking and pharma, while IT and FMCG stocks faced pressure. In the broader market, Nifty Midcap index shed 0.10 per cent, whereas Nifty Smallcap gained 0.81 per cent.
Among the major Sensex laggards were Bharti Airtel Ltd, Reliance Industries Ltd (RIL), Larsen & Toubro Ltd (L&T), Infosys Ltd, Mahindra & Mahindra Ltd (M&M), NTPC Ltd, Tata Consultancy Services Ltd (TCS), Power Grid Corporation of India Ltd and Sun Pharmaceutical Industries Ltd.
Vinod Nair, Head of Research at Geojit Investments, said the domestic market gave up its early gains as sectoral divergence weighed on the benchmarks.
"Inflation concerns receded on tempered US sanctions on Iran, easing domestic bond yields and lifting banking stocks, while metals gained on better realisation prospects," Nair said.
However, he noted that these gains were offset by weakness in IT stocks after the US paused visa appointments amid an immigration crackdown, raising concerns over margin pressure. Investors are also awaiting the US Core PCE data for further clarity on the interest-rate outlook, he said.
Ajit Mishra, SVP (Research) at Religare Broking, said the benchmarks ended lower after failing to sustain their early gains. He attributed the reversal to profit booking in heavyweight stocks and resistance at higher levels.
Mishra also said easing crude prices and global bond yields improved global risk sentiment, supporting a largely stable trend in the broader market.
Hariselvan Radhakrishnan, Founder & CEO of HST Wealth, pointed to sectoral rotation during the session, with investors shifting towards financials and the broader market while technology and consumer stocks remained under pressure. He said this lifted Nifty Midcap 100 to a record high even as the benchmark indices remained range-bound.
Nifty outlook
Rupak De, Senior Technical Analyst at LKP Securities, said Nifty continued to trade in a range, with selling emerging at higher levels.
"A fall below 24,130 could trigger a serious correction, potentially dragging the index towards 23,900 and 23,700. On the higher end, a rock-solid resistance is placed at 24,350. Only a sustained move above 24,350 could change the current perception. Until then, choppiness is likely to prevail," De stated.