The mood on Dalal Street stayed tense as Bank Nifty crashes over 1% as market sell-off deepens, reflecting rising nervousness across frontline banking stocks. What started as cautious trading quickly slipped into broad-based selling, with private banks taking the heaviest hit.
As the session progressed, the pressure didn’t ease. Instead, losses widened, pulling the banking index sharply lower and keeping traders on edge through the late morning hours.
Market Performance: Bank Nifty stays under pressure
The banking index remained firmly in the red through mid-session, showing how deep the selling interest ran.
- Bank Nifty traded at 58,628.6, down 775.6 points or 1.3%
- Intraday low: 58,278.6
- Intraday fall: nearly 1.9%, wiping out over 1,100 points from the day’s high
- The index is now around 3.6% below its all-time high of 60,437.35
This steady decline highlights how sharply sentiment has shifted in recent sessions, especially within the banking space.
Main News: Sell-off deepens across banking stocks
The reason Bank Nifty crashes over 1% as market sell-off deepens lies squarely in sustained selling among heavyweight banks. Investors continued to trim exposure, and there were very few counters offering any relief.
Private-sector banks dominated the downside, dragging the index lower almost throughout the session. The weakness wasn’t limited to one name—it spread across the board, reinforcing the sense of caution.
At the same time, the broader market also struggled, echoing the weakness seen a day earlier and keeping overall sentiment defensive.
Company Details: Heavyweights drag the index
Losses were led by large private lenders, which together accounted for most of the pressure on Bank Nifty.
Key stocks under pressure:
- ICICI Bank fell close to 1.9%, emerging as the biggest drag
- Axis Bank, HDFC Bank, IDFC First Bank, and AU Small Finance Bank also traded lower
- PSU banks joined the decline, with PNB, Union Bank, and Canara Bank posting moderate losses
Gains were rare.
- Yes Bank and Bank of Baroda managed marginal upticks, but their limited rise couldn’t offset the widespread selling across other constituents.
Broader Market Mood Adds to the Pressure
The banking sell-off did not happen in isolation. Weakness across benchmark indices added to the negative tone.
By late morning:
- The Sensex was down over 1,000 points
- The Nifty slipped below the 25,000 mark
The previous session had already delivered the sharpest single-day fall in more than eight months, pushing both indices to their lowest levels in over three months. Wednesday’s continuation only reinforced the cautious, risk-averse mood.
Global cues and foreign selling remain a drag
Overnight weakness in global markets weighed on sentiment, keeping participants cautious. Foreign institutional activity added another layer of pressure.
- FIIs were net sellers worth ₹2,938.33 crore in the previous session
- This marked the 11th straight session of net outflows in January
- FIIs have been net buyers only once this month
The persistent outflow pattern has continued to dampen confidence, especially in rate-sensitive sectors like banking.
Summary: What today’s move signals?
As Bank Nifty crashes over 1% as market sell-off deepens, the message from the market is clear—banking stocks remain under sustained pressure. Heavyweight private banks led the decline, PSU lenders followed, and broader market weakness offered little support.
With the index now well below its recent peak and selling remaining widespread, the session underscored how fragile sentiment currently is. For now, banking stocks are moving in step with the broader risk-off environment, keeping Bank Nifty firmly on the defensive.
Source: Moneycontrol
Easy & quick
Leave A Comment?