Sensex slumps 662 pts; financial services stocks decline; VIX jumps 4.17%

The key equity benchmarks traded with major losses in early afternoon trade as Donald Trump announced an extension of the ceasefire until Iranian leaders submit a unified proposal. Investor sentiment remained cautious amid uncertainty over the ceasefire deadline in the West Asia conflict. However, market participants will track Q4 earnings.

The Nifty slipped below the 24,400 level. Financial Services bank shares declined after gaining in the previous three consecutive trading session.

At 12:28 IST, the barometer index, the S&P BSE Sensex tanked 662.31 points or 0.84% to 78,611.02. The Nifty 50 index declined 174.55 points or 0.71% to 24,402.05.

The broader market outperformed the frontline indices. The BSE 150 MidCap Index rose 0.32% and the BSE 250 SmallCap Index jumped 0.72%.

The market breadth was positive. On the BSE, 2,259 shares rose and 1,773 shares fell. A total of 204 shares were unchanged.

Economy:

The credit rating agency, Moody has lowered India?s FY27 GDP growth forecast to 6% from 6.8%. The downgrade reflects weak consumption, slower industrial output and rising energy costs due to West Asia tensions. Higher oil and gas prices may increase import bills and push up inflation. India?s dependence on Middle East energy and fertiliser imports adds to the risk. Elevated costs could hurt margins of sectors like aviation, cement and chemicals. The government may also face pressure on subsidies and fiscal balance. However, strong forex reserves, resilient services exports and ongoing infrastructure spending are expected to provide some support.

Derivatives:

The NSE's India VIX, a gauge of the market's expectation of volatility over the near term, added 4.17% to 18.27. The Nifty 28 April 2026 futures were trading at 24,407.60 at a premium of 5.55 points as compared with the spot at 24,402.05.

The Nifty option chain for the 28 April 2026 expiry showed a maximum call OI of 107.1 lakh contracts at the 24,500 strike price. A maximum put OI of 92.1 lakh contracts was seen at the 24,000 strike price.

Buzzing Index:

The Nifty Financial Services index fell 0.61% to 26,687.25. The index added 1.30% in the previous three consecutive trading session.

ICICI Bank (down 1.31%), Max Financial Services (down 1.26%), HDFC Life Insurance Company (down 1.12%), Cholamandalam Investment & Finance Company (down 1.01%), HDFC Bank (down 0.97%), Kotak Mahindra Bank (down 0.89%), ICICI Lombard General Insurance Company (down 0.79%), SBI Life Insurance Company (down 0.79%), State Bank of India (down 0.71%) and LIC Housing Finance (down 0.67%) declined.

On the other hand, Jio Financial Services (up 2.18%), SBI Cards & Payment Services (up 1.02%) and Axis Bank (up 0.8%) added.

Stocks in Spotlight:

Lupin shed 0.20%. The company announced the launch of Dapagliflozin and Metformin Hydrochloride extended-release tablets in the U.S., in strengths of 5 mg/500 mg, 5 mg/1,000 mg, 10 mg/500 mg, and 10 mg/1,000 mg, following approval from the U.S. FDA.

HDFC Life Insurance Company fell 1.23%. The company said that it has approved the reappointment of Vibha Padalkar as the managing director (MD) & chief executive officer (CEO) of the company for a period of 5 (five) years with effect from 12 September 2026.

Central Mine Planning & Design Institute declined 2.35% after the company reported 32.2% drop in net profit to Rs 187.82 crore despite a 11.7% increase in net sales to Rs 826.88 crore in Q4 FY26 as compared with Q4 FY25.