Indian equity benchmarks gave up early morning gains by midday Wednesday, as a weakening rupee and elevated crude oil prices weighed on investor sentiment.
The Nifty 50 slipped from its session highs, reflecting the drag from energy and metals sectors, while the broader market remained range-bound despite positive breadth in other areas.
The Bank Nifty index outperformed the broader market, providing a crucial buffer against the downturn.
State-owned public sector banks led the banking sector higher, offsetting losses elsewhere.
This divergence highlights the resilience of domestic financials even as external headwinds pressure the wider economy.
The retreat underscores the persistent vulnerability of Indian markets to external shocks.