Indian markets continued to trade deep in red during early afternoon session tracing weak cues from other Asian markets. Sustained foreign fund outflows also weighed on investor’s sentiment. Investors were worried as higher oil prices could increase input costs for companies and reduce profit margins. Sentiments were downbeat as foreign investors have pulled out Rs 88,180 crore (about $9.6 billion) from Indian equities so far in March, weighed down by escalating tensions in West Asia, a weakening rupee and concerns over the impact of elevated crude oil prices on India's growth and corporate earnings. Besides, according to government data India’s production growth in eight core infrastructure sectors slowed down to 2.3 per cent in February 2026 from 3.4 per cent in the same month last year. 

On the global front, Asian markets were trading in red as investors reacted to increasing tensions in the Middle East. Meanwhile, traders avoided to take risk ahead of the upcoming S&P Global Composite PMI Flash data, due on March 24, for further market direction.

The BSE Sensex is currently trading at 72698.47, down by 1834.49 points or 2.46% after trading in a range of 72628.35 and 73732.58. There were 2 stocks advancing against 28 stocks declining on the index.

The top losing sectoral indices on the BSE were Metal down by 4.67%, Consumer Durables down by 4.51%, Capital Goods down by 4.43%, Realty down by 4.38% and Industrials was down by 4.30%, while there were no gaining sectoral indices on the BSE. 

The only gainers on the Sensex were HCL Tech up by 1.38% and Tech Mahindra up by 1.23%. On the flip side, Interglobe Aviation down by 5.71%, Titan Company down by 4.80%, Trent down by 4.74%, Bharat Electronics down by 4.55% and Ultratech Cement down by 4.40% were the top losers.

Meanwhile, with an aim to support manufacturers and exporters, the government has modified the Mutual Credit Guarantee Scheme for Micro, Small and Medium Enterprises (MSMEs) (MCGS-MSME), allowing a 5% upfront contribution in tranches after the fourth year. As per the revised scheme, Finance Ministry said the services sector has been included in the scheme, and the cost of equipment/machinery has been reduced up to 60% of the project cost from the earlier 75%. Further, the credit guarantee expiry period has been set at 10 years as compared to the unspecified period in the earlier scheme. The National Credit Guarantee Trustee Company (NCGTC) has operationalised the revised scheme since February 24, 2026. The scheme provides 60% guarantee coverage by NCGTC to Member Lending Institutions (MLIs) for credit facilities up to Rs 100 crore sanctioned to eligible MSMEs under MCGS-MSME for the purchase of equipment/ machinery.

On eligibility criteria, the ministry said that profitable units having exported at least 25% of their sales turnover in each of the previous 3 financial years and satisfying certain export realisation conditions are eligible to avail the scheme. Also, the guaranteed loan amount is pegged at Rs 20 crore, and upfront contribution is 2% of the loan amount, a maximum of Rs 40 lakh, with 1% each refundable in the fourth and fifth year of the guarantee period. Guarantee coverage is 75% of the amount in default, and the guarantee fee would be 'nil' for the first year and thereafter, every year, 0.50% of the loan outstanding.

The MSME sector contributes around 30% to the GDP and over 45% to the exports of India, and provides employment to more than 35 crore workers. The ministry pointed that achieving the vision of 'Viksit Bharat 2047' requires strong, globally competitive, and sustainable MSMEs. It added that the modifications in the MCGS-MSME scheme are expected to facilitate increased availability of credit for the purchase of Plant and Machinery/Equipment by MSMEs, including exporter MSMEs, and give a major boost to the manufacturing and export sector in India.

The CNX Nifty is currently trading at 22528.45, down by 586.05 points or 2.54% after trading in a range of 22504.15 and 22851.70. There were 3 stocks advancing against 47 stocks declining on the index.

The few gainers on Nifty were HCL Tech up by 1.45%, Tech Mahindra up by 1.23% and ONGC up by 0.45%. On the flip side, Shriram Finance down by 6.51%, Interglobe Aviation down by 5.77%, Adani Enterprises down by 4.98%, JIO Financial down by 4.85% and Titan Company down by 4.73% were the top losers.

Asian markets were trading in red; Nikkei 225 slipped 1869.53 points or 3.63% to 51,503.00, Hang Seng declined 1042.32 points or 4.12% to 24,235.00, Taiwan Weighted lost 821.38 points or 2.51% to 32,722.50, KOSPI dropped 375.45 points or 6.95% to 5,405.75, Shanghai Composite weakened 155.38 points or 3.93% to 3,801.67 and Straits Times was down by 116.36 points or 2.35% to 4,832.51.