Sensex and Nifty Performance

The BSE Sensex opened sharply lower by 772.19 points and ended the day at 82,787.32, down 1.06% from the previous close. Similarly, the Nifty 50 index mirrored this weakness, reflecting the cautious mood prevailing among investors. The Sensex currently trades approximately 4.07% below its 52-week high of 86,159.02, signalling a notable correction phase after recent highs.

Technically, the Sensex is trading below its 50-day moving average (DMA), which itself remains above the 200-DMA, indicating a mixed medium-term trend. This suggests that while the broader uptrend remains intact, short-term momentum has weakened, warranting close monitoring in the coming sessions.

Sectoral Trends: Metal Sector Bears the Brunt

Out of 38 sectors tracked on the BSE, only the Nifty Media sector managed to eke out gains, rising 0.80%. In stark contrast, 37 sectors declined, with the Metal sector leading losses, falling 2.84%. This sectoral weakness was driven by concerns over global commodity prices and subdued demand outlook, which weighed heavily on metal stocks.

Other major sectors such as banking, IT, and FMCG also faced selling pressure, contributing to the overall market weakness. The subdued performance across sectors highlights the cautious stance adopted by market participants amid mixed global cues and domestic macroeconomic uncertainties.

Market Breadth and Capitalisation Segments

Market breadth was notably weak, with the advance-decline ratio across the BSE 500 standing at a dismal 80 advances against 418 declines, a ratio of just 0.19x. This indicates a broad-based sell-off with very few stocks managing to hold ground.

Large caps, represented by the BSE 100, fell 1.11%, while mid caps and small caps suffered steeper losses of 2.95% and 5.07% respectively. The sharper decline in mid and small caps underscores the risk-off sentiment among investors, who preferred to reduce exposure to more volatile segments.

Top Gainers and Losers

Despite the overall negative trend, a few stocks bucked the tide. Among the BSE 500, Engineers India led the gainers with a robust 14.66% rise, followed by Linde India at 7.33% and K P R Mill Ltd, which gained 6.28%. These stocks benefited from sector-specific positive developments and bargain hunting.

Conversely, the steepest declines were seen in Muthoot Finance, which plunged 11.40%, Cohance Life down 9.54%, and Blue Jet Health falling 9.10%. These losses reflect sector-specific challenges and profit-booking pressures.

Large, Mid and Small Cap Highlights

Within large caps, Hindustan Aeronautics emerged as the top gainer, advancing 1.86%, while Adani Power was the largest laggard, dropping 6.68%. Mid caps saw Linde India rally 7.33%, but Muthoot Finance declined sharply by 11.40%. Small caps were the most volatile, with GE Power surging 19.99%, yet SpiceJet fell 12.20%, highlighting the divergent fortunes within this segment.

Foreign Institutional Investors and Domestic Institutional Investors Activity

Foreign Institutional Investors (FIIs) continued their cautious stance, with net outflows observed amid global uncertainties and rising geopolitical tensions. Domestic Institutional Investors (DIIs), while somewhat more active, were unable to offset the selling pressure from FIIs, resulting in overall net selling in the market.

This divergence between FIIs and DIIs reflects the ongoing risk aversion among foreign investors, who remain wary of emerging market volatility, while domestic investors are selectively buying quality stocks amid the correction.

Global Cues and Their Impact

Global markets were subdued, with major indices in the US and Europe trading lower due to concerns over inflationary pressures and the potential for tighter monetary policy. Asian markets also reflected this cautious mood, with China’s Shanghai Composite index declining amid weak economic data.

These global headwinds weighed on Indian markets, which are increasingly sensitive to international developments given the country’s growing integration with global trade and capital flows.

Upcoming Corporate Earnings

Investors are also looking ahead to key corporate earnings announcements, with ABB scheduled to report results on 19 Feb 2026 and Schaeffler India on 24 Feb 2026. These results are expected to provide further direction to the market, especially in the industrial and manufacturing sectors.

Outlook and Investor Takeaways

The current market correction, reflected in the Sensex’s 1.06% decline and weak breadth, suggests investors are recalibrating risk amid mixed domestic and global signals. The underperformance of mid and small caps indicates a preference for quality and liquidity in uncertain times.

Sectoral divergence, with media stocks holding ground while metals and other cyclical sectors falter, highlights the uneven recovery across industries. Investors should remain cautious, focusing on fundamentally strong companies with resilient earnings and manageable valuations.

Technical indicators suggest that while the medium-term uptrend remains intact, short-term volatility is likely to persist. Monitoring global developments, especially inflation and monetary policy trends, will be crucial for navigating the market in the near term.

Summary

In summary, the Indian equity market experienced a broad-based sell-off on 13 Feb 2026, with the Sensex falling over 800 points amid weak global cues and subdued investor sentiment. Market breadth was poor, with mid and small caps underperforming large caps. The metal sector led losses, while media stocks were the lone sector in positive territory. Foreign investors remained net sellers, adding to the pressure. Upcoming corporate earnings and global developments will be key to market direction in the coming weeks.

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