Equity benchmark indices Sensex and Nifty declined for the third session in a row on Friday (July 11, 2025), dropping nearly 1%, dragged by heavy selling in IT, auto and energy stocks amid a muted start of the earnings season.

Tariff-related uncertainties and mixed global market trends also added to the pressure, analysts said.

The 30-share BSE Sensex tanked 689.81 points or 0.83% to settle at 82,500.47. During the day, it fell 748.03 points or 0.89% to 82,442.25.

As many as 2,450 stocks declined while 1,557 advanced and 158 remained unchanged on the BSE.

Similarly, the 50-share NSE Nifty dropped 205.40 points or 0.81% to 25,149.85.

On the weekly front, the BSE benchmark dropped 932.42 points or 1.11%, and the Nifty tanked 311.15 points or 1.22%.

“While weak European market cues and negative U.S. Dow Futures weighed on sentiment, the disappointing start to earnings season by software major TCS cautioned investors about the sluggish global demand scenario that led to heavy selling in IT, telecom, auto, realty and oil & gas stocks,” Prashanth Tapse, Senior VP (Research), Mehta Equities Ltd, said.

From the Sensex firms, Tata Consultancy Services declined 3.46% after reporting its June quarter earnings.

The country’s largest IT services company on Thursday (July 10, 2025) reported a 6% growth in June quarter net profit at ₹12,760 crore, helped by a jump in non-core income even as revenues grew at a tepid pace.

The rupee revenue grew 1.3% to ₹63,437 crore during the quarter. Still, it was down by over 3% on a constant currency basis, as the company faced headwinds in its major markets amid a winding down of the BSNL deal, which helped it in recent quarters.

Mahindra & Mahindra, Bharti Airtel, Tata Motors, Titan, HCL Tech, Bajaj Finance, Reliance Industries, Trent, Infosys and HDFC Bank were among the other major laggards from the pack.

“Markets traded under pressure on Friday (July 11, 2025) and lost over half a%, dragged down by weak cues. The session began on a negative note following disappointing results from IT major TCS, which further worsened due to profit-taking in heavyweight stocks across other sectors. Sentiment remained subdued due to ongoing uncertainty around tariff-related issues and a weak start to the earnings season,” Ajit Mishra – SVP, Research, Religare Broking Ltd, said.

Meanwhile, shares of Hindustan Unilever Ltd (HUL) surged 4.61% following the announcement that Priya Nair will become the first woman CEO and MD of the firm, effective August 1, 2025.

Axis Bank, NTPC, Eternal and State Bank of India were also among the gainers.

“The domestic market experienced a negative close due to a sober start to Q1 earnings season and a ramp-up in the tariff threat by the U.S. to impose a 35% tariff on Canada. Investors may continue to be focused on quarterly earnings for a buy-on-dips strategy. However, in the near term, the current premium valuation and the global headwinds like low spending and tariff uncertainties may restrain new inflows.

“The IT index underperformed due to deferment in orders and new investments, which may impact FY26 earnings estimates,” Vinod Nair, Head of Research, Geojit Investments Limited, said.

The BSE smallcap gauge declined 0.70%, and the midcap index dropped 0.65%.

On BSE sectoral indicators, teck tumbled 1.85%, BSE Focused IT tanked 1.77%, IT (1.65%), auto (1.72%), oil & gas (1.28%), consumer discretionary (1.23%), and telecommunication (1.22%).

In contrast, healthcare and FMCG were the gainers.

In Asian markets, South Korea’s Kospi, Japan’s Nikkei 225 index settled lower, while Shanghai’s SSE Composite index and Hong Kong’s Hang Seng ended higher.

European markets were trading lower in mid-session trade.

The U.S. markets ended in positive territory on Thursday (July 10, 2025).

Global oil benchmark Brent crude climbed 0.31% to $68.85 a barrel.

Foreign Institutional Investors (FIIs) bought equities worth ₹221.06 crore on Thursday (July 10, 2025), according to exchange data.

On Thursday (July 10, 2025), the Sensex dropped 345.80 points or 0.41% to settle at 83,190.28. On similar lines, the Nifty declined 120.85 points or 0.47% to 25,355.25.

Published – July 11, 2025 04:24 pm IST