The Sensex slid 876 points to 73,853, ending a two‑day winning streak that had seen the benchmark inch higher on Monday.
The Nifty fell 257 points to 22,889, opening 63 points lower at 23,083 before selling intensified through the session.
Private banks led the decline, with Axis Bank tumbling 4.2% and HDFC Bank falling 2.3%; Tata Motors also lost over 3%. In contrast, JSW Steel rose 2%, ONGC gained 1.4%, and State Bank of India edged up 1.2%.
Vinay Rajani, senior technical research analyst at HDFC Securities, warned that the Nifty is approaching support at 22,800 and a decisive break below 22,500 could weaken the bullish outlook.
Disappointing quarterly earnings from major private lenders, coupled with Brent crude trading near $108 a barrel, added pressure while foreign institutional investors net sold equities worth Rs 1,149 crore.
With earnings misses raising concerns over shrinking net interest margins, analysts are cautious about the bank’s next earnings release, expected in June, and the broader market’s resilience.