Stock Markets Trade Lower as Sensex Falls 256 Points, Nifty Slips Below 26,100

Indian equity benchmark indices opened lower on January 8, 2026, extending recent losses as persistent foreign institutional investor (FII) outflows and renewed concerns over potential U.S. tariff hikes weighed on investor sentiment. The BSE Sensex fell 255.86 points, or 0.30%, to 84,705.28 in early trade, while the NSE Nifty declined 65.9 points, or 0.25%, to 26,074.85.

The downward movement reflected ongoing caution in the market amid sustained selling by foreign funds, which have been net sellers in recent sessions. Investors remain wary of the possible implications of U.S. trade policies under the incoming administration, particularly the prospect of higher tariffs that could impact global supply chains and India's export-oriented sectors.

Broader market breadth was weak in early trade, with more stocks declining than advancing on both exchanges. Selling pressure was visible across key sectors, including banking, IT, and consumer goods, although some defensive pockets showed relative resilience.

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Despite the short-term volatility, India's macroeconomic fundamentals continue to provide a supportive backdrop. The economy is projected to grow by 7.4% in the current fiscal year, reinforcing its position as the world's fastest-growing major economy even amid global uncertainties and geopolitical tensions.

Market participants will closely monitor upcoming domestic and international developments, including any further cues on foreign flows, global trade rhetoric, and upcoming corporate earnings, for direction in the near term. The indices had closed marginally lower in the previous session, setting the stage for today's cautious start.

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