Why are market benchmark indices, Sensex, Nifty, down? Tata Motors, Mahindra, HDFC Bank share performance today

India equity benchmarks, Sensex and Nifty, dipped on Wednesday in a rout in auto stocks. Tata Motors and Mahindra shares slipped around 1 per cent, a day after Tesla opened its first outlet in India at BKC Mumbai.

Leading the losers in the 30-pack BSE Sensex was the Zomato-parent Eternal, followed by Sun Pharma, Tata Steel, and the two Indian auto giants.

Overall, the Sensex shed more than 200 points, and the Nifty lost close to 75 points in early trade, despite a positive rally in the banks.

In the Sensex, IndusInd Bank, SBI, HDFC Bank, and Axis Bank were all trading in the green, but their gains could not offset the dip in autos.

On Tuesday, THE WEEK reported how the nation’s foremost automotive industry body, the Society of Indian Automobile Manufacturers (SIAM), posted a dip in quarterly domestic sales for passenger cars, e-rikshaws, and motorcycles.

The June quarter saw overall passenger vehicle sales slump 1.4 per cent to 10,11,882. Passenger car sales fell by 11.2 per cent to 3,02,991 year-on-year.

Strong FII inflows did not help matters. On Tuesday, FIIs brought a little over ₹120 crore worth of equities in the Indian markets. The day ended with the Sensex gaining more than 317 points and the Nifty closing around 113 points higher.

Business