The Indian stock market experienced significant volatility today as the Nifty IT index slipped officially entered bear market territory, correcting over 20% from its record high made last December. On March 12, 2025, the Nifty 50 index showed signs of weakness, trading down by 0.24% at 22,443.1, reflecting broad investor concerns with 28 stocks falling and only 22 advancing.
Trackers of the market reported notable declines among heavyweights, with Wipro plunging 5.06%, Infosys down 4.76%, and HCLTech falling 3.62%. Conversely, some stocks like IndusInd Bank, which rose by 5.39%, and Tata Motors, increasing by 3.50%, provided glimmers of hope amid the slump.
Deven Choksey, Managing Director of DRChoksey Finserv, emphasized the current market climate, stating, "At this point of time, because the price significantly corrected, the downside may be less comparatively, but enough amount of confidence to gain, one will have to pass through quarter results." This insight points to the pressing need for upcoming financial disclosures to navigate potential recovery paths.
On another front, shares of Tata Motors experienced a lift post the CFO's reassurances during their analyst meet. The stock surged up to 4% after investors digested the positive outlook shared during the meeting, breaking two days of losses.
The Jio Platforms Ltd. subsidiary of Reliance Industries announced on March 12, 2025, its partnership with SpaceX to provide the latter’s Starlink broadband services to Indian markets. Analysts speculate this move will bolster Reliance’s telecom offerings, potentially increasing market share and attractiveness to investors.
Meanwhile, potential caution flagged by analysts was directed at Kaynes Technology India Ltd., where shares suffered declines of up to 9% after the company’s Managing Director, Ramesh Kunhikannan, received a show-cause notice from the Securities and Exchange Board of India (SEBI) on March 10, pointing to insider trading inquiries.
Mitessh Thakkar, another technical analyst, commented on the prevailing index trends, indicating, "The damage is clearly there. I was hoping ... we could at least do some base building and try and look for some reversal. But now it looks like we are looking at ₹600 as the minimum and, in the worst-case scenario, even ₹525-530." His perspective reinforces the cautious sentiment prevailing among traders, signifying potential difficulties to come.
Adding to the day’s turbulence, the Indian Rupee opened at 87.28 against the US dollar, which reflects last day's close and demonstrates marginal fluctuations as the currency trades under pressure amid global economic uncertainties.
One of the highlights of the day encompasses SEPC executing a framework agreement with RoshnGroup for infrastructure projects valued around ₹2,200 crore across three regions of Jeddah North.
Following this, the financial markets opened mixed amid global trade tensions, as technology stocks appeared particularly pressured. The Nifty 50 has struggled to maintain upward momentum, facing pushback against levels near 22,600 as traders express uncertainty.
Additional recommendations from market technical analysts suggested buying opportunities with targets set for various stocks, including Crompton, Adani Ports, and Ambuja Cements, indicated to perform well, provided certain stop-loss measures are adhered to.
Analysts also reinforced the importance of keeping abreast of incoming economic data, particularly the expected inflation and industrial production figures later today which are anticipated to influence the Federal Reserve's policy outlook.
Investors are advised to navigate the market with judiciousness, particularly as fluctuated asset values correlate closely to technology sectors affected by broader geopolitical currents. Observers continue to monitor any developments concerning significant corporations and their capacity to withstand economic pressures.
The general consensus among analysts is pragmatic, urging investors to be equipped with strategies to address volatility and unforeseen market conditions as the year progresses.