Nifty 50 dips 200 points, Sensex crashes 600 points; why is Indian stock market down today?
Stock market today: The Indian stock market witnessed strong selling pressure during mid-session on Thursday. Among the key benchmark indices, the Nifty 50 index slipped below the 26,000 level and ended at 25,868, logging an intraday loss of nearly 272 points. The BSE Sensex remained under pressure throughout the Thursday session and finished 780 points lower at 84,180. The Bank Nifty index also shed 316 points, closing at 59,674. In the broader market, the small-cap index, the S&P BSE Small-Cap Index, is down by 1.97%, whereas the Mid-cap index is down by over 1.99%.
Why is the market down today?
On why the Indian stock market is down today, experts attribute the following five major reasons: FIIs selling, the Russia Sanctions Act, a decline in commodity prices, geopolitical tension, and uncertainty regarding Trump’s tariffs.
Selling was across segments, but power and energy, CPSE, Infrastructure, metal, oil and gas, IT, and Infrastructure stocks received the maximum beating during the Thursday sell-off. PSU stocks also came under the bear’s grip during today’s stock market crash.
Among the major losers are Signature Global, Pearl Global, BHEL, MOIL, NMDC, Hindustan Zinc, National Aluminium Company or NALCO, Hindustan Petroleum Corporation Ltd or HPCL, Jindal Steel, Jindal Stainless, KPR Mills, SpiceJet, HUDCO, etc.
In the international market, the UK’s FTSE 100 and French CAC 40 indices were down around 0.15%, the Euro Stoxx 50 index was down 0.20%, Amsterdam’s AEX was down over 1%, Italy’s FTSE MIB was down by 0.10%, Japan’s Nikkei 225 Index finished 1.59% lower, and Hong Kong’s Hang Seng index crashed 1.17%. However, the South Korean KOSPI finished marginally higher.
1] Russia Sanctions Act
Highlighting the Russia Sanctions Act, Sugandha Sachdeva, Founder of SS WealthStreet, said, “The market is down today due to the renewed fear of Trump’s tariffs. The US President, Donald Trump, has approved the Russia Sanctions Act, which allows for the imposition of massive duties on countries that import crude oil from Russia. The act threatens to impose tariffs of at least 500% countries that import Russian oil. As India imports Russian crude oil, the market is trying to discount that fear in the current sell-off.”
2] FIIs’ selling
“Despite various steps taken by the Indian government, FIIs have remained net sellers in the Indian stock market since July 2025. The market was expecting a trend reversal in the FIIs’ trading pattern, but it was in vain. So, in the wake of no FIIs’ support, DIIs were bound to buckle down, and this happened during the market hours on Thursday,” said Amit Goel, Chief Global Strategist at Pace 360.
3] Fall in commodity prices
“Today commodity prices have also fallen, which triggered selling in commodity stocks. Metal stocks are already under severe heat due to the retracement in the precious and base metal prices,” Amit Goel said.
4] Renewed fear of trade war
“The Russian Sanctions Act has renewed the fear of a fresh trade war, as the act has a provision to impose at least 500% tariffs on the countries that import crude oil from China. Donald Trump also threatened countries that posed roadblocks to the Russia-Iran deal. So, this Russia Sanctions Act has renewed the fear of a fresh trade war across the world as Trump has threatened some NATO countries also,” said Sugandha Sachdeva.
5] Geopolitical tension
“After the US-Venezuela conflict, chances of geopolitical tension are expected to escalate as this US military operation can be used as a green signal by China to acquire Taiwan. Similarly, there are several other countries in the world that have an example to sort out their personal problem without keeping the United Nations Organisation (UNO) in confidence,” said Amit Goel of Pace 360.
In focus: US Supreme Court hearing on Trump’s tariffs
Amit Goel of Pace 360 also added that there is complete uncertainty over Trump tariffs, as the US Supreme Court is going to hear the case over the legality of Trump’s tariffs. If the US Supreme Court finds Trump’s tariffs illegal, then there will be complete chaos. Whether the US government will give the additional tariffs back to their trade partners or Donald Trump will go to Congress and pass the bill on the US tariffs remains to be seen.
Indian stock market outlook
Speaking on the outlook of the Nifty 50 index, Ponmudi R, CEO at Enrich Money, said, “The Nifty 50 index decisively slipped below the psychological 26,000 mark, breaking down from its recent consolidation band of 26,000–26,200 and falling below the 20-day EMA—signalling a clear deterioration in short-term momentum. ”
The Enrich Money expert said a sustained close below 25,900 increases the probability of further downside toward the 25,800–25,700 zone, while a recovery above 26,000 is essential to stabilise near-term sentiment. Despite the current correction, the broader weekly and monthly trend structure remains positive, although short-term corrective pressure may persist if key supports fail to hold.
On the outlook of the Bank Nifty index, Ponmudi R said, “The Bank Nifty index faced repeated rejection near the 60,000–60,100 resistance zone, reaffirming strong overhead supply, while prices remained capped below the declining channel resistance, keeping the short-term bias negative. Post the intraday breakdown, the index attempted a mild retracement but failed to sustain above 59,800, highlighting the absence of meaningful buying interest. Immediate support is placed near 59,600; a decisive break below this level could intensify selling pressure toward 59,500–59,350. Overall, the technical setup remains bearish to range-bound, with any rallies likely to attract selling interest unless the index decisively reclaims the 59,800–60,000 zone.”
Disclaimer: This story is for educational purposes only. The views and recommendations above are those of individual analysts or broking companies, not Mint. We advise investors to check with certified experts before making any investment decisions.
