At 12:25 IST, the barometer index, the S&P BSE Sensex, was down 415.53 points or 0.67% to 61,333.72. The Nifty 50 index lost 114.40 points or 0.63% to 18,141.40.

In the broader market, the S&P BSE Mid-Cap index slipped 0.24% while the S&P BSE Small-Cap index shed 0.25%.

The market breadth was negative. On the BSE, 1,403 shares rose and 1,942 shares fell. A total of 157 shares were unchanged.

Derivatives:

The NSE's India VIX, a gauge of the market's expectation of volatility over the near term, jumped 2.30% to 12. The Nifty 25 May 2023 futures were trading at 18,183.25, at a premium of 41.85 points as compared with the spot at 18,141.40.

The Nifty option chain for the 25 May 2023 expiry showed maximum Call OI of 29.4 lakh contracts at the 18,500 strike price. Maximum Put OI of 32.7 lakh contracts were seen at 17,500 strike price.

Buzzing Index:

The Nifty Bank index declined 1.21% to 43,155.25. The index was up 0.86% in past trading session.

HDFC Bank (down 5.37%), Federal Bank (down 3.48%), Bandhan Bank (down 1.69%), Punjab National Bank (down 1.31%) and AU Small Finance Bank (down 1.09%), Bank of Baroda (down 0.22%), IndusInd Bank (down 0.19%), IDFC First Bank (down 0.16%) and Kotak Mahindra Bank (down 0.08%) declined.

On the other hand, ICICI Bank (up 1.08%), Axis Bank (up 0.74%) and State Bank of India (up 0.27%) advanced.

Stocks in Spotlight:

Jammu & Kashmir Bank added 0.71% after the private lender reported a standalone net profit of Rs 476.33 crore in Q4 FY23, steeply higher than Rs 112.20 crore recorded in Q4 FY22. Total income jumped 21.2% year on year to Rs 2,678.40 crore in the quarter ended 31 March 2023.

Zydus Lifesciences fell 0.18%. The company announced that it has received final approval from the United States Food and Drug Administration (USFDA) to manufacture and market Sucralfate tablets.

Sundram Fasteners rose 1.75% after the company's standalone net profit jumped 63% to Rs 116.41 crore on 7.7% rise in revenue from operations to Rs 1,234.73 crore in Q4 FY23 over Q4 FY22.