On February 25, 2025, the Indian stock market showed signs of recovery as the benchmark indices, S&P BSE Sensex and NSE Nifty50, experienced fluctuations but managed to end the trading session on slightly positive notes.
The S&P BSE Sensex finished at 74,602.12, marking a gain of 147.71 points or 0.20%, after overcoming fears from five consecutive trading sessions of losses. On the flip side, the Nifty50 index settled at 22,547.55, down 5.80 points or 0.03%.
Investors were cautiously optimistic following the prior week’s downturn, attributed largely to foreign institutional investors (FIIs) offloading significant amounts of equities—over ₹6,286.70 crore on Monday alone. Despite this outflow, domestic institutional investors (DIIs) stepped in, purchasing ₹5,185.65 crore worth of stocks, indicating some confidence among local investors.
Notably, Tata Investment Corporation emerged as the top gainer on the Nifty50, surging by 7.55% to close at ₹6,190.05. Other significant gainers included Mahindra & Mahindra, which increased by 3.28% to ₹2,798, and Bharti Airtel, with its shares rising 2.20% to ₹1,636.55 following the announcement of their partnership with Ericsson for 5G Core technology.
Meanwhile, the day's trading also showcased some major losers. Hindalco, a notable player within the metals sector, saw its shares fall by 3.05% to ₹622.30. Dr. Reddy’s Laboratories and Trent suffered similar declines, of 2.35% and 1.57% respectively, reflecting the struggles faced by the pharmaceutical and retail segments.
Market observers noted the mixed performance throughout the day, highlighting the sectoral distribution of gains and losses. While auto, consumer durables, and telecom sectors displayed resilience, sectors like metals, PSU banks, and oil & gas struggled, with many stocks touching their 52-week lows amid overall uncertain market conditions.
"The market concluded the trading session marginally lower, after a lacklustre performance throughout the day," commented Hrishikesh Yedve, AVP Technical and Derivatives Research at the investment firm, detailing how the volatility index, India VIX, saw a decrease, indicating reduced market jitters.
Investors are also keeping one eye on global cues, as major Asian markets reflected declines, paralleling the previous day’s bearish trend seen on Wall Street. Global oil prices also saw minor upticks, with Brent crude trading at around $75.16 per barrel, up by 0.51%, adding to the mixed sentiment.
Interestingly, trading activity was noted across various sectors, with the Nifty Midcap 100 index falling by 310.95 points, and the Nifty SmallCap 100 index declining by 68.70 points. Reports illustrated 12 stocks on the NSE hitting their 52-week highs, whereas 186 stocks plummeted to their yearly lows.
The trading day was marked by various stocks nearing 52-week lows, including Tata Motor shares, which dipped to ₹665.05, and LIC, which saw its stock fall close to its 52-week low as the company faced GST demand orders.
The Indian stock market is set to remain closed on February 26, 2025, due to the observance of Mahashivratri, providing both investors and traders with time to reassess their strategies moving forward. Market analysts are advising caution, as the broader trend remains bearish, with many expecting significant volatility as the global economic climate continues to evolve.
This mixed trading performance, particularly after such downturns, highlights the delicate balance the Indian equity market finds itself subjected to—between domestic investor confidence and external economic pressures. Analysts reiterate the importance of keeping watch over key resistance levels, particularly for the Nifty0, which requires sustaining above 22,500 to avoid triggering additional selling pressure.