Sensex Drops Nearly 900 Points; Jio Platforms IPO Lists at 21% Premium

The Indian stock market witnessed a significant decline on Wednesday, October 28, as the benchmark indices closed with substantial losses. The BSE Sensex tumbled by 886 points, a drop of 1.2 percent, settling at 72,712.71. Meanwhile, the Nifty 50 index slipped nearly 1 percent, falling 221 points to close at 22,528.

The day’s trading session reflected a cautious mood among investors, influenced by a mix of corporate earnings reports and sectoral shifts. Rising crude oil prices and profit-taking in information technology stocks added to the pressure on the markets.

Among the sectoral indices, the Nifty IT index experienced a steep fall, declining over 3 percent. This sharp drop was led by major IT companies including Infosys, Tech Mahindra, HCL Technologies, and Tata Consultancy Services. These stocks faced heavy selling pressure, dragging down the overall index. In contrast, the Nifty Auto index managed to post gains, rising 0.34 percent as some automobile stocks showed resilience.

The broader markets were mixed in performance. The Nifty Midcap 100 dipped by 0.36 percent, while the Nifty Smallcap 100 inched higher by 0.09 percent, reflecting a cautious but varied investor sentiment across market capitalizations.

Among individual stocks, Larsen & Toubro (L&T) emerged as a top performer, surging over 5 percent after reporting strong second quarter results. The company’s positive earnings announcement bolstered investor confidence. Similarly, State Bank of India (SBI) and Axis Bank shares traded higher, supporting the financial sector.

In contrast, shares of Hindustan Unilever (HUL) declined approximately 2 percent despite posting a 3.9 percent year-on-year increase in consolidated net profit for the July-September quarter. The FMCG giant’s net income rose to ₹2,790 crore from ₹2,685 crore in the same period last year. The stock’s muted response indicates investor caution despite steady earnings growth.

Maruti Suzuki, India’s largest automobile manufacturer, also saw a muted market reaction after releasing its Q2 FY27 results. The company’s earnings and sales numbers did not significantly move the stock price, reflecting tempered investor enthusiasm in the auto sector amid broader market volatility.

Notably, Jio Platforms made an impressive debut on the secondary market on Wednesday. The company’s initial public offering (IPO) shares listed on both the Bombay Stock Exchange (BSE) and National Stock Exchange (NSE) at a premium of around 21.36 percent, with the share price opening at ₹1,358. The strong listing underscored robust investor demand and market confidence in the telecom and digital services firm.

Ahead of the IPO listing, brokerage firm Elara Securities initiated coverage on Jio Platforms with a Buy rating and set a target price of ₹1,367, signaling optimism about the stock’s potential.

Overall, the market’s broad weakness was partly attributed to external factors such as rising crude oil prices, which generally increase costs for companies and dampen investor sentiment. The IT sector’s decline also weighed heavily, as it constitutes a significant portion of market capitalization and is sensitive to global economic conditions.

Wednesday’s trading session highlighted the varied performance across sectors and companies as investors balanced earnings results with macroeconomic concerns. Market participants will likely keep a close watch on upcoming corporate earnings, global market trends, and commodity price movements to gauge near-term direction.