Indian equities stumbled on Monday, January 6, 2026, as the Sensex tumbled 504 points and the Nifty retreated 0.3% after hitting fresh record highs earlier in the day. The selloff was mainly led by blue-chip stocks such as Reliance Industries and HDFC Bank, with foreign fund outflows and global jitters adding to the pressure.
The Sensex was down 504 points, or 0.56%, at 84,963.09 around 11:30 am, while the Nifty slipped 106.95 points to 26,143.35. Earlier, the Nifty had surged to a new intraday high of 26,373.20 before reversing course to close at 26,250.30, down 78.25 points, or 0.30%. The market breadth reflected the cautious mood, with 1,561 shares advancing, 1,774 declining, and 182 unchanged.
Heavyweights Drag Down Markets
Profit booking in market bellwethers was the story of the day. HDFC Bank, the largest constituent of the benchmark indices, fell about 2% after releasing provisional December quarter updates that failed to impress investors. The stock has now lost over 4% in just two sessions, hitting a three-month low as traders cut exposure. Reliance Industries and Tata Motors Passenger Vehicles also weighed heavily, declining up to 8%. Meanwhile, a handful of stocks like Hindalco Industries and Apollo Hospitals Enterprise bucked the trend, gaining up to 4%.
Foreign institutional investors continued to exit Indian equities, offloading Rs 36.25 crore worth of shares on Monday, while domestic institutions stepped in, pouring Rs 1,764.07 crore into the market, according to exchange data.
Global and Geopolitical Headwinds
The cautious tone wasn’t confined to India. Over the weekend, events in Venezuela rattled energy markets, briefly sending oil prices higher and lifting energy stocks like Chevron (up 6%) and ConocoPhillips (up 5%). However, Brent crude soon dipped 0.24% to $61.61 per barrel. Chip and AI-related stocks saw some strength globally, but the mood in India remained subdued amid concerns over a global slowdown and US tariff warnings.
Looking ahead, investors are watching for further cues from both the global macro backdrop and corporate earnings season. For now, with heavyweights under pressure and profit-taking in full swing, the Indian market enters 2026 at a pivotal moment.
