At 11:30 ST, the barometer index, the S&P BSE Sensex, was down 750.71 points or 0.93% to 79,600.93. The Nifty 50 index shed 217.25 points or 0.89% to 24,215.95.

The broader market underperformed the headline indices. The S&P BSE Mid-Cap index slipped 1.17% and the S&P BSE Small-Cap index tumbled 1.25%.

The market breadth was positive. On the BSE, 913 shares rose and 2,833 shares fell. A total of 127 shares were unchanged.

Buzzing Index:

The Nifty Auto index slipped 2.11% to 25,245.60. The index rose 2.09% in the past trading session.

Mahindra & Mahindra (down 6.68%), Exide Industries (down 3.32%), Bharat Forge (down 2.99%), Apollo Tyres (down 2.39%), Tata Motors-DVR (down 2.12%), MRF (down 1.79%), Samvardhana Motherson International (down 1.79%), Tata Motors (down 1.67%), Hero MotoCorp (down 1.67%) and Ashok Leyland (down 1.29%) advanced.

Stocks in Spotlight:

Shilpa Medicare declined 2.09%. The company said that ANVISA-Brazil successfully completed good manufacturing practice (GMP) inspection at its subsidiary, Shilpa Pharma Lifesciences’ Active Pharmaceutical Ingredient (API) manufacturing facility, Unit II situated in Karnataka.

IRM Energy shed 0.81%. The firm informed that Karan Kaushal has tendered his resignation from the position of chief executive officer (CEO) of the company with effect from close of business hours on 31 July 2024.

Global Markets:

Most Asian stocks declined on Wednesday after the comments made by Federal Reserve Chair Jerome Powell provided little indication about the timing of expected U.S. rate cuts later this year, despite signaling increased confidence in the moderation of inflation.

Japan's wholesale inflation accelerated in June due to a weaker yen and rising import costs. This is likely to lead to an interest rate hike by the central bank in the near future. Wholesale inflation rose 2.9% year-on-year in June, the fastest pace since August 2023. The index hit a record high for the seventh consecutive month.

Chinese consumer inflation shrank in June amid persistent economic concerns, limiting spending, while producer inflation contracted for a 20th consecutive month, though at a slower pace. Consumer price index inflation grew 0.2% year-on-year in June, down from 0.3% in the prior month.

In US, the S&P 500 and Nasdaq closed at record highs on Tuesday, extending their winning streak to six days. This surge comes as investors remain optimistic about potential interest rate cuts by the Federal Reserve. However, the Dow Jones Industrial Average ended the day slightly down. The recent US economic slowdown has fueled expectations of the Fed easing monetary policy to boost the economy.