Markets sink on global selloff; Sensex down 564 points, Nifty below 25,350

Market Overview - Indian markets opened significantly lower, continuing a downward trend for the third consecutive session, influenced by a steep selloff on Wall Street and weak Asian market cues [1][2] - The BSE Sensex fell by 564.32 points (0.68%) to 82,746.69, while the NSE Nifty dropped by 172.65 points (0.68%) to 25,337.05 [1] Sector Performance - The banking and financial services sector showed mixed trends, with ICICI Bank gaining 0.81% to ₹1,331.10, while State Bank of India declined by 1.41% to ₹947.20 [3] - Adani Enterprises and Shriram Finance also saw slight gains, while HDFC Life and Max Healthcare advanced in the insurance space [3] Technology Sector - Technology stocks faced significant selling pressure, with Bharti Airtel dropping 4.24% to ₹2,006.10, and other major players like HCL Technologies, Wipro, and TCS also experiencing declines [4] Foreign Institutional Investors (FIIs) Activity - Despite Domestic Institutional Investors (DIIs) buying ₹5,283 crore worth of stocks, FIIs sold ₹3,263 crore, leading to continued market decline [3] - The selling pressure from FIIs is overpowering the buying from DIIs, contributing to the market's downward movement [3] Economic Indicators and Sentiment - Global sentiment turned negative due to weak US job data, renewed layoffs in the tech sector, and concerns over AI valuations, leading to heavy profit booking in growth stocks [2] - The ongoing US government shutdown has suspended the release of key economic indicators, complicating the Federal Reserve's policy outlook [2] Commodities Market - Precious metals like gold and silver found support despite profit booking, with gold prices supported at ₹1,19,870-₹1,19,280 [5] - Crude oil prices declined to two-week lows due to rising supply and weakening demand, with an unexpected inventory build of 5.2 million barrels reported [6] Investment Strategy - Current market conditions are seen as an opportunity for investors to adjust portfolios towards fairly-valued large caps, particularly in banking and pharmaceuticals, where growth prospects remain positive [7]