Stock Market: Sensex Slips Over 260 Points, Nifty Trades Below 18,700 On Muted Cues. Auto, Realty Drag

Stock update: On the 30-share Sensex platform, Bajaj twins, M&M, HUL, Asian Paints, HDFC were trading in the red. PowerGrid, Wipro, TechM, Tata Steel, Infosys, NTPC emerged early gainers

The two key equity benchmarks, Sensex and Nifty, on Tuesday started trading lower tracking muted global sentiment. At 9.45 am, the S&P BSE Sensex declined 267 points 62,900. On the other hand, the NSE Nifty was trading at 18,690, down 65 points.

On the 30-share Sensex platform, Bajaj twins, M&M, HUL, Asian Paints, HDFC were trading in the red. On the upside, PowerGrid, Wipro, TechM, Tata Steel, Infosys, NTPC emerged early gainers.

In the broader markets, the BSE Midcap and Smallcap indices advanced 0.11 per cent and 0.25 per cent, respectively.

Among specific stocks, shares of HDFC Asset Management Company (AMC)) soared nearly 8 per cent.

Among sectors, all indices traded lower with Nifty Auto index quoting 0.6 per cent lower, followed by the Nifty Realty index (down 0.4 per cent), and FMCG and Banks stocks were also trading lower.

In the previous session on Monday, the S&P BSE Sensex settled at 63,168, down 216 points, while the NSE Nifty, after hitting an intra-day high of 18,881.45, ended at 18,755, down 71 points.

"FII & DIIs turning sellers in yesterday's trade, anxiety ahead of US Fed chief Powell's Wednesday testimony before the US Congress, and a delayed monsoon would prompt investors to trade with caution," Prashanth Tapse, Senior VP (Research) at Mehta Equities Ltd, said.

In Asian markets, Seoul, Tokyo, Shanghai, and Hong Kong were trading in the negative territory. The US markets were closed on Monday on the observance of Juneteenth holiday.

Global oil benchmark Brent crude dipped 0.17 per cent to $75.96 a barrel.

Foreign Institutional Investors (FIIs) offloaded equities worth Rs 1,030.90 crore on Monday, according to exchange data.

Meanwhile, the rupee depreciated by 14 paise to 82.08 against the US dollar in early trade on Tuesday amid negative sentiments in the domestic as well as global equity markets and outflow of foreign funds. The Indian currency was hit by massive selling in equities by foreign investors and lower participation in dollar trade as the US market observed a holiday on Monday, analysts said.

At the interbank foreign exchange, the domestic unit opened lower at 82.03. During intra-day, the unit hit the lowest level of 82.09 and touched the peak of 82.03. Later, the Indian currency was trading at 82.08, registering a fall of 14 paise over its previous close. On Monday, the rupee settled at 81.94 against the dollar.