Sectoral Snapshot Today, September 2, 2026: Auto, IT Lead Losses, Paints and Airlines Suffer; Energy Stocks Buck Trend

Mumbai, September 2: Indian equities ended lower on Wednesday, with auto and information technology stocks bearing the brunt of selling as renewed U.S.-Iran hostilities pushed crude oil prices higher and heightened concerns over inflation and interest rates. The Nifty 50 fell 0.59% to 23,914.45, while the Sensex declined 373.93 points, or 0.49%, to 76,570.35. 

The selloff was broad-based, with most sectoral indices ending in the red as investors assessed the impact of higher energy costs on India’s inflation outlook and economic growth. Brent crude traded around $95 a barrel after rising sharply on concerns that the widening conflict could disrupt oil supplies from the Middle East. 

Auto Stocks Lead Sectoral Decline 

Auto stocks were among the biggest losers on Wednesday, with the Nifty Auto index falling sharply. Eicher Motors, Bajaj Auto and Mahindra & Mahindra were among the worst-performing Nifty stocks. 

The sector came under pressure as higher crude prices raised concerns over input costs and the broader impact of elevated fuel prices on demand.  

Hero MotoCorp led declines among auto stocks, with shares dropping 4.6% as the two-wheeler major reported a fall in August exports alongside a decline in its market share. The Nifty Auto index slipped 1.8% during the session. 

Tyre manufacturers were also affected by the rise in oil prices, with the sector facing potential cost pressures from higher crude-linked inputs. 

IT Stocks Decline 

Information technology stocks also dragged the benchmarks lower, with the Nifty IT index falling 1.2%. Wipro was among the biggest Nifty losers, falling 2.5%, while other IT counters also remained under pressure. Infosys fell 1.4% while HCL Technologies declined 1.5%. 

The weakness came amid a broader decline in global technology stocks, adding to existing concerns around the outlook for India’s IT sector. 

Oil, Energy Stocks Buck Trend 

Energy and Oil & Gas were among the few pockets of strength in an otherwise weak market. Coal India was one of the biggest Nifty gainers, rising 4.1% after reporting a 5.5% increase in August coal supplies and announcing plans to take its Mahanadi Coalfields subsidiary public. 

Upstream energy producers ONGC and Oil India benefitted from higher oil prices, rising 0.4% and 1.7% respectively. Among oil marketing companies, BPCL rose 0.6%, HPCL declined 1.1% and Indian Oil rose 0.3%. Oil to telecom giant Reliance rose 0.3%. 

Paints, Airlines Face Crude Impact 

Paint companies were also among the sectors affected by the rise in crude prices, given their exposure to petroleum-linked raw materials. Asian Paints was among the notable Nifty decliners, falling 1.9%. 

Airlines also remained vulnerable to higher oil prices because aviation turbine fuel is a major operating cost. IndiGo came under pressure declining 0.6% as investors assessed the potential impact of sustained fuel inflation on margins. SpiceJet was down 4.5%. 

Broader Market Under Pressure 

The weakness extended to broader markets, with the Nifty Midcap index falling 0.5% and the Smallcap index declining 0.4%. 

The sectoral selloff reflects growing concern that a prolonged rise in crude prices could widen India’s import bill, add to inflationary pressures and put pressure on the rupee. 

With geopolitical tensions still elevated, market direction is likely to remain closely tied to crude oil prices and developments in the Middle East. 

Source

• NSE