CHENNAI: Indian equities spent most of Wednesday (December 3) on the back foot as persistent currency pressure and subdued global cues kept sentiment weak. The session opened without direction but quickly slipped into decline after the rupee once again breached the 90-per-dollar mark, renewing concerns over capital outflows and rising import costs.
At 12.45 noon, the Sensex had fallen to about 85,138, down roughly 500 points, while the Nifty finished near 26,032, losing around 140 points.
Selling was broad across sectors. Banking and financial stocks led the decline as investors reassessed the risks of currency volatility ahead of the RBI’s upcoming policy review. Metals, manufacturing and energy-linked counters also retreated, reflecting worries about higher input costs in a weakening currency environment.
Information technology shares were the rare outliers, benefiting from a softer rupee that boosts the value of overseas earnings, and their gains helped cushion some of the broader market weakness.
Through the day, traders avoided taking large positions, preferring caution ahead of key macro signals expected later in the week, including inflation readings and the central bank’s policy outlook. With foreign flows turning uncertain and global markets offering little support, Wednesday’s intraday trade pointed to a market that is consolidating and bracing for potential volatility rather than committing to any directional move.