Benchmarks have pared some losses in late afternoon session as traders opted to buy fundamentally good stocks at lower levels following the recent market pull back. Besides, market participants took note of report showing that India's service sector activity continued to expand strongly in February despite a slower rise in new orders along with a pickup in inflation. The seasonally adjusted HSBC India Services PMI dropped slightly to 58.1 in February from 58.5 in January. However, markets continued to trade below the neutral lines as geopolitical tensions in West Asia weighed on investors’ sentiments. The tensions in West Asia have spiked up the global crude oil prices. Investors are worried about the implications of high crude oil prices on inflation and country’s current account deficit.

On the global front, all Asian equity markets were trading lower amid tension in Middle East.  European equity markets were trading mostly in green after the HCOB Eurozone services PMI business activity index rose from 51.6 in January to 51.9, hitting two-month high and matching expectations.

The BSE Sensex is currently trading at 79278.20, down by 960.65 points or 1.20% after trading in a range of 78443.20 and 79404.65. There were 4 stocks advancing against 26 stocks declining on the index.

The only gaining sectoral indices on the BSE were TECK up by 0.77% and IT up by 0.32%, while Metal down by 4.01%, Oil & Gas down by 3.29%, Realty down by 3.28%, Industrials down by 3.17% and Basic Materials down by 3.04% were the top losing indices on BSE.

The few gainers on the Sensex were Bharti Airtel up by 2.14%, Infosys up by 1.93%, Tech Mahindra up by 1.26% and HCL Technologies up by 0.04%. On the flip side, Tata Steel down by 6.97%, Larsen & Toubro down by 4.27%, Interglobe Aviation down by 3.01%, Bajaj Finserv down by 2.95% and NTPC down by 2.93% were the top losers.

Meanwhile, India’s services sector growth eased in the month of February, as new orders rose at the slowest pace since January 2025. According to the survey report, the seasonally adjusted HSBC India Services PMI Business Activity Index slowed down to 58.1 in February from 58.5 in January. However, the HSBC India Composite PMI Output Index -- which measures both manufacturing and services -- surged to 58.9 in February as against 58.4 in January.

The report said that one area of outperformance was exports, as services firms reported gains from many parts of the world including Canada, Germany, mainland China, Singapore, the UAE, the UK and the US. On average, international sales expanded at the fastest pace since last August. Service providers were confident in their ability to secure new orders and thereby lift business activity over the course of the coming 12 months.

On the price front, there was the sharpest increase in operating expenses among Indian services firms in two-and-a-half years, with the rate of inflation edging above its historical average. Similarly, prices charged for the provision of services were raised to the greatest extent in six months. Besides, Indian services companies indicated mild pressure on their operating capacities, as evidenced by a second successive monthly increase in outstanding business volumes. The rate of accumulation was marginal and similar to January.

The CNX Nifty is currently trading at 24534.25, down by 331.45 points or 1.33% after trading in a range of 24305.40 and 24574.65. There were 5 stocks advancing against 45 stocks declining on the index.

The top gainers on Nifty were Bharti Airtel up by 2.15%, Coal India up by 2.15%, Infosys up by 1.59%, Tech Mahindra up by 1.08% and Sun Pharmaceutical Industries up by 0.01%. On the flip side, Tata Steel down by 7.01%, Tata Motors Passenger Vehicles down by 5.11%, Larsen & Toubro down by 4.24%, SBI Life Insurance Company down by 4.22% and JSW Steel down by 3.94% were the top losers.

All Asian equity markets were trading lower; Nikkei 225 slipped 2206.05 points or 4.08% to 54,073.00, Taiwan Weighted lost 1494.77 points or 4.55% to 32,828.88, Hang Seng declined 551.08 points or 2.19% to 25,217.00, KOSPI dropped 698.37 points or 13.71% to 5,093.54, Straits Times fell 115.87 points or 2.36% to 4,800.78, Shanghai Composite weakened 40.21 points or 0.98% to 4,082.47 and Jakarta Composite plunged 391.24 points or 5.18% to 7,548.53.

European equity markets were trading mostly in green; Germany’s DAX gained 103.35 points or 0.43% to 23,894.00 and France’s CAC rose 7.76 points or 0.1% to 8,111.60, while UK’s FTSE 100 decreased 19.44 points or 0.19% to 10,464.69.