Indian stock markets close lower following broader decline in Asian markets

Mumbai (Maharashtra) [India], August 12 (ANI): Domestic equities closed lower on Tuesday, following a broader decline in Asian markets, as investors focus on July's domestic inflation data and the US inflation report, which could influence market participants' decisions.
On the close of the trading today, BSE Sensex was down 368.49 points or 0.46 percent at 80,235.59, and the Nifty 50 at National Stock Exchange (NSE) slid 97.65 points or 0.40 per cent at 24,487.40.
Among the Nifty constituents, Tech Mahindra and Maruti Suzuki stood out as the top gainers, showing resilience amid broader market weakness. In contrast, Bajaj Finance and Trent were the biggest losers, contributing to the index's decline. Sectoral performance was mixed. Nifty Media and Nifty Pharma indices outperformed, closing in the green, while Nifty Financial Services and Nifty Private Bank indices were among the top laggards, reflecting pressure in financial counters.
The broader market also showed signs of caution. The Nifty Midcap 100 index ended with a loss of 0.27 per cent, while the Nifty Smallcap 100 closed flat, indicating limited participation beyond the large-cap space.
Market breadth was slightly negative, with the advance-decline ratio tilted in favour of the bears. Out of the Nifty 500 universe, 272 stocks ended in the red, highlighting weakness across sectors.
On Tuesday, the benchmark index Nifty opened with a strong upside, rallying sharply during the first hour of trade. However, the index failed to hold above the key 24700 level and subsequently witnessed a correction of over 200 points. By the end of the session, Nifty settled below the 24500 mark, posting a decline of 0.40 per cent.
"The market couldn't build on Monday's gains, showing that the current pullback is still weak and lacks strength within the larger downtrend," said Sudeep Shah, Head - Technical and Derivatives Research at SBI Securities.
Despite a strong start to the week, Tuesday's session saw Nifty give up early gains and close below 24500, down 0.40%. This lack of follow-through buying underscores the absence of conviction among participants, raising concerns about the sustainability of the recovery attempt. Without a decisive move higher, the pullback risks fizzling out, reinforcing the prevailing bearish undertone.
"Nifty opened on a flat note and witnessed strong rejection at 24700 confirming the dead cat bounce. The index witnessed a pullback rally of the existing downtrend and remains in a sell on rise mode. The index immediate support stands at 24400-24350 zone and a breach below this will aggravate the selling pressure towards 24000 where the 200dma is placed," said Kunal Shah, Senior Technical and Derivative Analyst at Mirae Asset ShareKhan. (ANI)