Last Updated on January 21, 2026 8:52 pm by BIZNAMA NEWS
Analysts expect the Nifty to trade sideways in the near term, with earnings season and global cues—particularly US President Trump’s speech at Davos—likely to dictate market direction. Stock-specific action is anticipated in InterGlobe Aviation, DLF, Indian Bank, Coforge, APL Apollo Tubes, Mphasis, and Radico Khaitan.
AMN / BIZ DESK
Domestic equities extended their losing streak for the third consecutive session on Wednesday, weighed down by a sharp depreciation in the rupee and persistent foreign institutional selling. The currency weakened to a record low of 91.70 against the US dollar, amplifying investor concerns amid global uncertainties and trade frictions.
The BSE Sensex closed at 81,909.63, down 270.84 points or 0.33%, while the NSE Nifty fell 75 points or 0.30% to settle at 25,157.50. Notably, the Nifty recovered over 237 points from its intraday low of 24,920, reflecting late-session buying support.
Currency weakness remained the dominant theme. Analysts noted that sustained FPI outflows, importer hedging demand, and adverse global sentiment have driven USD/INR to historic highs. Kotak Securities projected further upside toward 92–92.50, with the upcoming Union Budget and India-EU FTA talks seen as key triggers.
Foreign investors continued their selling spree, offloading equities worth nearly ₹2,938 crore on Tuesday. Market breadth was heavily skewed, with 2,968 stocks declining against 1,317 advances on the BSE. Alarmingly, 916 stocks hit 52-week lows, underscoring the bearish undertone.
Broader markets underperformed, with the Nifty Midcap 100 slipping 1.14% and the Nifty Smallcap 100 down 0.90%. The Nifty Next 50 also fell 0.37%, reflecting widespread weakness beyond frontline indices.
Sector-Wise Performance
- Banking & Financials:
- Nifty Bank plunged 603.90 points or 1.02% to 58,800.30.
- Nifty Financial Services dropped 0.87% to 26,963.50.
- ICICI Bank fell over 2%, leading sectoral losses.
- Consumer Durables:
- Declined 1.6%, marking the ninth straight session of losses.
- PSU Stocks:
- Dropped 1%, reflecting continued weakness in state-owned enterprises.
- Realty:
- Fell 1.6%, pressured by weak demand outlook and rising funding costs.
- Metals:
- Bucked the trend, gaining 0.6% on strong global commodity cues.
- Oil & Gas:
- Added 0.3%, supported by firm crude prices.
- Individual Gainers:
- Eicher Motors and IndiGo emerged as top performers in the Nifty pack.
Safe-Haven Rally
Gold prices surged nearly ₹7,000 to ₹1,57,500, extending a sharp rally of over ₹15,000 in just three sessions. The metal is already up 15% in January 2026, driven by escalating geopolitical tensions across the US, Europe, Greenland, and Russia–Ukraine.
Outlook
Analysts expect the Nifty to trade sideways in the near term, with earnings season and global cues—particularly US President Trump’s speech at Davos—likely to dictate market direction. Stock-specific action is anticipated in InterGlobe Aviation, DLF, Indian Bank, Coforge, APL Apollo Tubes, Mphasis, and Radico Khaitan.
