Indian Benchmarks Decline as Sensex Falls 601 Points, Nifty Slips Amid IT Sector Weakness
Markets reacted to elevated crude prices and awaited the US Federal Reserve's policy decision, with IT stocks leading the day's losses.
The story
Indian equity markets faced selling pressure on Wednesday, October 28, with the BSE Sensex declining 601.57 points (0.82%) to 72,997.10 and the Nifty 50 slipping 136.40 points (0.60%) to 22,613.35 by late morning trade. The downturn was largely concentrated in IT, FMCG, and energy sectors.
Nifty IT emerged as the worst-performing index, falling 3.35%, with Infosys, TCS, and Tech Mahindra seeing significant declines. Nifty FMCG dropped 1.68%, and Nifty Energy was down 0.85%.
Conversely, selective buying provided some support in pharma, auto, and banking stocks, with Nifty Pharma and Nifty Auto each gaining 0.89%. Foreign institutional investors (FIIs) turned net buyers on October 27, recording purchases of ₹4,240.39 crore, their strongest single-day buying in October.
However, domestic institutional investors (DIIs) were net sellers, offloading ₹1,250.03 crore. Elevated crude oil prices, with Brent hovering near $115-$116 a barrel, and caution ahead of the US Federal Reserve's policy decision, continued to weigh on investor sentiment. The Indian rupee closed at ₹95.115 per U.S. dollar on October 27.
The tape
| Instrument | Last | Change |
|---|---|---|
| Nifty 50 | 22,613.35 | -136.40 (-0.60%) |
| Sensex | 72,997.10 | -601.57 (-0.82%) |
| Bank Nifty | 53,883.40 | -0.17% |
| USD/INR | 95.279 | +0.17% |
| India VIX | 16.83 | +0.42 (+2.56%) |
Flows & data
| Item | Reading | Read |
|---|---|---|
| FII Net Flows | +₹4,240.39 crore (October 27) | Foreign investors turned strong buyers in the cash market. |
| DII Net Flows | -₹1,250.03 crore (October 27) | Domestic investors were net sellers in the cash market. |
IPOs & the primary market
Jio Platforms, Reliance-backed digital arm, made its stock market debut on October 28, listing at a 21.4% premium. The IPO, valued at ₹30,213 crore, was subscribed 22.19 times.
Paras Healthcare also listed on the same day. In the ongoing primary market activity, SFC Environmental Technologies and BLS Polymers IPOs, both mainboard issues, opened for subscription on October 27 and will close on October 29.
M.K.Sons Fine Jewels IPO opened on October 28 and closes on October 30. EAAA India Alternatives IPO, which closed on October 28, saw a subscription of 0.33 times. Upcoming is Bombay Coated & Special Steels IPO opening on October 29.
Valuation watch — India & global
India's IPO market is seeing a cooling in valuations, with the average price-to-earnings (P/E) multiple for companies listed in 2026 dropping nearly 40% to 41.7x from 69.5x in 2025. This shift reflects increased investor caution amid volatile markets and subdued equity returns.
Notably, major issuers like Jio Platforms entered the market at more modest P/E multiples, with Jio Platforms at 33x. For the broader market, the Nifty 50's trailing P/E ratio stood at 21.19 in September 2026, a decrease from 22.81 a year prior, while the CAPE ratio was 28.67. Globally, the US 10-year Treasury yield was at 5.01% on October 28, and the ongoing US Federal Reserve policy decision remains a key factor influencing global equity valuations and capital flows.
What we'll be watching
- US Federal Reserve policy decision announcement (October 28)
- India's September industrial production data release (October 28)
- Reliance Industries Q2 FY27 earnings (October 30)
- Bombay Coated & Special Steels IPO opens (October 29)
- SFC Environmental Technologies IPO closes (October 29)
Reporting + analyst voices: grounded via Google Search at publish time.