Closing Bell: Sensex Down 247 Points, Nifty Below 25,100; Why Indian Market Fell For 4th Day?

Indian stock market benchmarks, Nifty and Sensex, ended in red after trading in a narrow range Monday, July 14, hitting its lowest level in three weeks and marking its fourth consecutive session of decline. The drop came amid renewed trade tensions after the US announced plans to impose a 30% tariff on most imports from the EU and Mexico starting August 1, despite ongoing lengthy negotiations.

BSE Sensex closed at 82,253.46, down 247.01 points or 0.30 per cent, while the Nifty50 index ended at 25,082.30, down 67.55 points or 0.27 per cent.

Top Gainers And Losers

Tech Mahindra, Jio Financial, Bajaj Finance, HCL Tech, Infosys, Wipro, and Asian Paints were among the biggest losers on the Nifty. While, Eternal, Titan, ONGC, HDFC Life, IndusInd Bank, and SBI Life Insurance saw gains.

Market breadth remained neutral, with 2025 shares advancing, 2137 shares declining, and 149 shares unchanged. Despite the overall decline, Midcap and Smallcap indices rose by 0.5% each.

Among Sector Performance, IT sector was the worst performer, shedding 1% marking the fourth consecutive day of losses, with Tech Mahindra and LTTS leading the declines. While, Pharma, Consumer Durables, Media, Realty, and PSU Banks sectors gained between 0.5% and 1%.

The broader market outperformed the benchmark indices, with the Nifty Midcap 150 breaking its six-day losing streak, and Nifty Smallcap 250 ending a two-day losing streak.

Brent Crude prices rose above $71 per barrel, boosting upstream oil stocks like ONGC, which gained 1%.

Why Did Markets Fell for the Fourth Day?

The drop came after renewed trade tensions as the US announced plans to impose a 30% tariff on most imports from the EU and Mexico starting August 1, despite ongoing negotiations. Disappointing earnings from Tata Consultancy Services also added pressure on market sentiment. Traders were also waiting for important data from China, India's top trading partner, which includes GDP, industrial production, and retail sales figures, set to be released on Wednesday.

"Consolidation continued in the domestic market as the tariff headlines and a subdued start to the earnings season are influencing investors to be more sensitive with valuation trading at 3yrs high level. However, stock-specific action continues with sector wise pick-up in healthcare, realty, consumer & discretionary, while IT remains the laggard due to the risk of earnings downgrades in FY26," said Vinod Nair, Head of Research, Geojit Investments.

Market Outlook

"The Nifty continues to decline as tariff tensions weigh on market sentiment. Additionally, participants are awaiting CPI data from both India and the US, which is further dampening overall sentiment. Technically, the index slipped towards 25,000 on an intraday basis, which is very close to the 50-DMA. On the lower end, support is placed at 24,900-24,950.

If this zone holds, a rally towards 25,350 looks possible. However, failure to sustain above 24,900 may trigger a deeper phase of correction," said Rupak De, Senior Technical Analyst at LKP Securities.

Stock Highlights

Multiples PE agreed to acquire a 32% stake in VIP Industries, pushing its stock price up by 5%.
Ola Electric saw a major jump of 20% after positive Q1 results.

Rupee VS Dollar

The Indian Rupee ended 19 paise lower at 85.99 per US Dollar compared to the previous close of 85.80.

"The Indian rupee depreciated following fresh tariff threats from U.S. President Donald Trump. These threats have escalated global trade tensions, leading to increased risk aversion among investors and subsequently weighing down other Asian currencies as well. Traders remain cautious ahead of the inflation data release scheduled for Tuesday. Spot USDINR has support at 85.55 and resistance at 86.27," said Dilip Parmar - Senior Research Analyst, HDFC Securities.

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