The domestic equity benchmarks have shed more than half a per cent on Tuesday on account of profit-booking at record highs after a sharp upmove seen in the last eight trading sessions, wherein the Nifty 50 index rallied over 5 per cent to touch record high of 15,661. At 11:00 am, the BSE Sensex was down 342 points or 0.66 per cent at 51,592.55 and NSE Nifty had slipped 77.95 points or 0.50 per cent at 15,550.
Meanwhile, Asian shares edged up to near three-month highs on Wednesday and global equities held steady near a record as data showing higher U.S. manufacturing activity in May cheered investors looking for signs of a continued rebound in the world's largest economy.
US manufacturing activity rose in May, the Institute for Supply Management (ISM) said on Tuesday, as pent-up demand boosted orders in a reopening economy, even as unfinished work piled up because of shortages of raw materials and labour.
MSCI's gauge of stocks across the world was flat after setting a record intraday high and close on Tuesday. Its broadest index of Asia-Pacific shares outside Japan ticked 0.08 per cent higher, and Japan's Nikkei added 0.36 per cent.
Back home, foreign institutional investors sold shares worth Rs 450 crore on Tuesday while domestic institutional investors bought shares worth Rs 230 crore.
Six of 11 sector gauges compiled by the National Stock Exchange were trading lower led by the Nifty IT index's over 1 per cent decline. Nifty Bank, Financial Services, FMCG, and Private Bank indices were also trading lower.
On the other hand, auto, metal, pharma and real estate shares were witnessing buying interest.
Mid- and small-cap shares were witnessing buying interest as Nifty Midcap 100 index rose 0.6 per cent and Nifty Smallcap 1000 index advanced 0.3 per cent.
ITC was top loser in the Nifty 50 basket of shares, the stock fell as much as 2.76 per cent to hit an intraday low of Rs 209.30 after it reported net profit of Rs 3,748 crore in the quarter ended March 2021, marking a decline of 1.3 per cent compared to the same quarter last year.
Tech Mahindra, Wipro, HDFC, HCL Technologies, Kotak Mahindra Bank, Infosys, ICICI Bank, TCS, Axis Bank, Tata Consumer Products, Titan, Grasim Industries and Asian Paints were also among the losers.
On the flipside, Adani Ports, JSW Steel, Coal India, Cipla, Shree Cements, Tata Steel, Divi's Labs, Britannia Industries, Power Grid and SBI Life were among the gainers.