Markets end lower as broader indices bear the brunt, India VIX jumps over 8%

The equity benchmark indices BSE Sensex and NSE Nifty closed lower on Wednesday (January 21), with selling pressure broad-based and sharper losses seen across the broader markets. Volatility rose sharply, with India VIX surging more than 8%, while the Midcap Index witnessed a swing of nearly 1,500 points during the session.

Benchmark indices ended in the red, with the Sensex falling 271 points to close at 81,910 and the Nifty declining 75 points to settle at 25,158. The Nifty closed below the 25,200 mark, with nearly 30 stocks ending the session in the red. Broader markets underperformed, as the midcap index slipped 662 points to 57,424, while the Nifty Bank index dropped 604 points to close at 58,800.

From the Sensex basket, UltraTech Cement Ltd, InterGlobe Aviation Ltd, JSW Steel Ltd, Hindalco Industries Ltd, Max Healthcare Institute Ltd and Reliance Industries Ltd were the major gainers. Hindustan Aeronautics Ltd, ICICI Bank Ltd

, Trent Ltd, Bharat Electronics Ltd, Adani Enterprises Ltd and Apollo Hospitals Enterprise Ltd were the biggest laggards.

Market breadth remained firmly skewed towards declines, with the NSE advance-decline ratio at 2:5, underscoring the extent of selling pressure across sectors. Among Nifty constituents, Tata Consumer Products, Trent, ICICI Bank, Bharat Electronics, and Larsen & Toubro emerged as the top losers, declining between 1% and 2%. Tata Communications saw a sharp fall following its Q3 results, with the stock dropping 8% from the day’s highs.

On the gaining side, Eternal rose over 5% ahead of its Q3 earnings announcement. InterGlobe Aviation gained 2% on reports that the government may remove the cap on airfares. Hindustan Zinc extended its gains, rising over 2% as silver prices hit record highs.

In the midcap space, Kalyan Jewellers emerged as the top loser, falling nearly 25% over the last 10 trading sessions. SRF declined 7% after management cited persistent pressure from Chinese competitors. Aditya Birla Fashion and Retail extended its previous session’s losses, falling another 5%.

Cupid announced plans to invest ₹331 crore in Baazar Style Retail, following which both stocks declined by up to 9%. Shoppers Stop slid over 6% after EBITDA fell 11%, with profit impacted by an exceptional loss. In contrast, CreditAccess Grameen jumped 10% as net interest income rose 13.4% and credit costs improved sharply by 300 basis points.

In the currency market, the rupee hit a record low of 91.72 against the dollar during the session and has fallen nearly 1.5% over the last five trading sessions, adding to overall market unease.