Sensex falls 539 points, Nifty slips below 24,100; benchmarks end at 1-week lows

Indian benchmark indices extended their losses on Thursday, with the Sensex falling 539.35 points, or 0.70%, to 76,933.59, while the Nifty 50 declined 116.90 points, or 0.48%, to 24,090.85. Both indices ended at their lowest levels in a week as selling intensified in the final session.

The decline came after the benchmarks had already fallen on Wednesday, with the Nifty dropping 126.80 points and the Sensex losing 183.16 points. From last Friday's close, the Nifty is now down around 0.66%, while the Sensex has declined about 0.78% this week. The Nifty had closed at 24,252 and the Sensex at 77,540.83 on August 21.

HDFC Bank leads selloff

HDFC Bank was among the biggest drags on the Nifty, falling 2.23% to ₹711 after hitting a fresh 52-week low. The stock has come under pressure following reports of a US class-action lawsuit and continued uncertainty around CEO Sashidhar Jagdishan's tenure.

Hindalco Industries was the top Nifty loser, falling 2.75%, followed by M&M (-2.01%), Shriram Finance (-1.48%), Grasim (-1.27%) and HCLTech (-1.27%). Bharti Airtel and Reliance Industries also declined 1.25% and 1.22%, respectively.

The broader market was relatively resilient. Nifty Bank fell 274 points to 57,510, while the Nifty Midcap index declined 66 points to 64,035.

Adani stocks, Kotak Bank buck trend

On the other side, Adani Enterprises was the top Nifty gainer, rising 1.83%, while Kotak Mahindra Bank gained 1.80%. Adani Ports rose 1.33%, with Cipla and Bharat Electronics also ending higher.

Power-equipment stocks bucked the broader weakness, with BHEL gaining more than 4% and CG Power rising around 4% amid positive sentiment following a US government order related to foreign power-grid equipment. Meanwhile, Tata Power fell about 3% after a Singapore court dismissed its challenge against a $490-million arbitration award.

Gold-loan stocks Muthoot Finance and Manappuram Finance fell sharply, while jewellery stocks benefited from the customs-duty-related move. CONCOR also came under pressure in the final hour, ending more than 4% lower.

The broader weakness comes against a backdrop of elevated geopolitical and macroeconomic uncertainty, although easing crude prices have offered some relief. Brent crude remained around $88 a barrel on Thursday.