The Indian stock market witnessed a sharp sell-off on Friday, extending losses for the fifth straight session as international developments and foreign fund outflows dented investor confidence. Both benchmark indices closed at their lowest levels in nearly two months, reflecting sustained pressure across most sectors.
The BSE Sensex plunged 605 points to settle at 83,576, while the NSE Nifty slipped 193.5 points to close at 25,683. Notably, the Nifty slipped below the crucial 25,700 mark, a level that market experts consider important for short-term stability. This decline underlined the weak market sentiment prevailing amid global uncertainties.
Global factors trigger selling pressure
In early trade, the Nifty opened at 25,840 and even touched an intraday high of 25,940. However, profit-booking soon emerged, dragging the index down to a low of 25,648. Uncertainty surrounding the proposed India–US trade deal, along with fresh concerns over global tariffs, weighed heavily on investor mood.
Moreover, markets reacted negatively to reports that the US President approved a bill proposing steep tariffs of up to 500 percent on countries purchasing oil from Russia. This development added to fears of further global economic disruption, prompting investors to stay cautious.
Sectoral performance remains weak
On the sectoral front, most indices ended in the red. Except for IT, PSU Bank, and Oil & Gas stocks, all major sectors recorded losses. The Nifty Realty index emerged as the worst performer, sliding 2.12 percent. Auto and FMCG stocks also declined by over 1 percent, reflecting broad-based selling pressure.
Rupee weakens against the dollar
Meanwhile, the Indian rupee also came under pressure. It depreciated by 22 paise to close at 90.11 against the US dollar. Analysts attribute the weakness to foreign capital outflows and persistent global uncertainty.
Market experts believe volatility may continue in the near term. However, they remain cautiously optimistic that positive domestic GDP growth data and encouraging third-quarter corporate earnings could help markets recover in the coming weeks.
