Stock market news: Indian benchmarks commenced Wednesday's trading session on a downward trajectory, pulled down by losses in financial and information technology sectors. The decline mirrors a global trend of falling stocks, triggered by concerns stemming from recent US data hinting at the Federal Reserve's potential delay in interest rate cuts.

As of 9:30 am, the blue-chip NSE Nifty 50 index was down by 0.39 per cent at 22,365.80, while the BSE Sensex shed 0.41 per cent to 73,599.59.

Both NSE Nifty 50 and BSE Sensex were set for a muted start, in line with a global slump in stocks following apprehensions about the Federal Reserve's stance on interest rate cuts.

The downturn in global markets was influenced by a 1 per cent drop in all three major Wall Street stock indexes, coupled with a surge in 10-year treasury yields to a four-month high. This surge came after data signalling steady labour demand, adding to concerns about a potential delay in the Fed's rate cut.

While markets had priced in a rate cut in June, recent robust US economic indicators, particularly in manufacturing and the labor market, have raised doubts about the timing of such cuts.

Asian markets opened lower, with the MSCI Asia ex-Japan index shedding 0.7 per cent.

Analysts anticipate India's key indices, Nifty 50 and BSE Sensex, to consolidate near record high levels achieved on Monday. Investors are keenly awaiting the Reserve Bank of India's monetary policy decision on Friday and the commencement of the corporate earnings season next week.

As per a Reuters poll of economists last week, India's central bank is likely to maintain steady rates until at least July.

In Tuesday's trading session, foreign portfolio investors sold shares worth Rs 1,623 crore (about $195 million) on a net basis, while domestic institutional investors purchased shares worth Rs 1,953 crore, according to provisional data from the National Stock Exchange.

Stocks to watch

• Biocon: The drug maker completed the transfer of its branded formulations business in India to Eris Lifesciences for Rs 1,242 crore on a slump sale basis.
• Ultratech Cement: The cement maker announced plans to allocate $3.89 billion for ongoing capital expenditure over the next three years. Additionally, the company commissioned two new units in Chhattisgarh and Tamil Nadu to surpass 150 MTPA capacity.
• Anupam Rasayan: The company signed a letter of intent worth about $90 million with a Japanese multinational company to supply two advanced intermediates using fluorination chemistry.
• Shriram Properties: The company received a tax penalty order amounting to Rs 447 crore.