Nifty slips on first Tuesday expiry, Sensex dives 700 points from day's high as banks drag

Nifty 50 ended its first Tuesday expiry session in the red on September 2, while Sensex slipped over 700 points from the session's high. Selling pressure in banking and financial stocks drove the benchmark indices lower, while the broader markets remained higher.

At close, the Sensex was down 206.61 points or 0.26 percent at 80,157.88, and the Nifty was down 45.45 points or 0.18 percent at 24,579.60. About 2396 shares advanced, 1539 shares declined, and 123 shares unchanged.

Sectoral indices were mixed. Nifty FMCG led the gainers with a 1.1 percent rise, followed by Nifty Media and Nifty Energy higher by 0.99 percent, and Metals adding 0.9 percent. Realty, PSU Bank, and Infra also posted modest gains. On the downside, Auto slipped 0.24 percent and Pharma fell 0.23 percent.

"Global geopolitics and power equations are changing at a fast and furious pace. India-US relations have deteriorated and normalcy appears difficult in the near future. More actions from the unpredictable US administration are likely. The consequences on the Indian economy and markets cannot be ascertained now," VK Vijayakumar, Chief Investment Strategist, Geojit Investments said.