The Indian stock market continued its downward trend on Friday, July 11, 2025, with benchmark indices closing significantly lower. Investor sentiment was severely impacted by weaker-than-expected Q1 earnings from IT major Tata Consultancy Services (TCS) and persistent global uncertainties stemming from escalating trade tariffs announced by the US. The IT sector bore the brunt of the selling pressure, leading the broader market decline.
Table of Contents
- Key Market Indices Performance
- Broader Market Declines, Sectoral Rotation Continues
- Sector-wise Performance Highlights
- Top Stock Market News of the Day
- FII and DII Activity Today
- IPOs, Listings, and Market Buzz
- Top Gainers and Losers
- Economic and Global Factors
- What to Watch in the Coming Days
- Final Takeaway
The Indian equity benchmarks settled lower on Friday, July 11, 2025, reflecting a bearish investor sentiment:
- The BSE Sensex tumbled 689.81 points or 0.83% to close at 82,500.47.
- The Nifty 50 dipped 205.40 points or 0.81% to settle at 25,149.85.
The indices remained volatile throughout the day. The India VIX, the volatility index, eased further by 2.24% to approximately 11.67, indicating a slight reduction in market nervousness despite the fall.
The broader market also closed in the red, indicating widespread selling pressure:
- The Nifty MidCap 100 and Nifty SmallCap 100 slipped 0.9% and 1% respectively, further highlighting the overall market weakness.
- The market breadth was negative, with significantly more declining stocks than advancing ones on the NSE, suggesting widespread caution and profit-booking. As of writing, approximately 1,813 stocks declined against 928 advancing on the NSE.
Sectoral performance was predominantly negative, with a few defensive sectors showing some resilience:
Top Performing Sectors (intra-day):
- FMCG and Pharma sectors showed resilience, with some stocks closing higher.
- Stocks like Hindustan Unilever (HUL), SBI Life Insurance Company, Sun Pharmaceutical, and Axis Bank were among the notable gainers from Nifty 50, suggesting a continued rotation of funds towards stable, consumer-oriented and defensive sectors.
Declining Sectors (intra-day):
- IT stocks were the primary drag, with the Nifty IT index tumbling 1.6% following the TCS results.
- Other major sectors that traded in red included Auto (down 1.24%), Defence, Media, and Oil & Gas.
- TCS, M&M, Hero MotoCorp, Wipro, and Bajaj Auto were among the significant depreciators.
Several significant domestic and global developments shaped market sentiment:
- TCS Q1 FY26 Earnings Disappointment: Tata Consultancy Services (TCS) reported a consolidated profit after tax increase of 6% YoY to ₹12,760 crore, but revenue growth was a modest 1.3% YoY to ₹63,437 crore. Crucially, in Constant Currency terms, revenue showed a 3.1% YoY decline, missing analyst expectations and contributing significantly to the IT sector's slump. The company's management acknowledged global macro-economic and geopolitical uncertainties leading to reduced demand.
- Escalating US Trade Deal Uncertainty & New Tariffs: US President Donald Trump intensified global trade tensions by announcing new tariffs on several countries. Notably, a 35% tariff on imports from Canada will be effective August 1. Trump also reiterated warnings of broader tariffs, including a 50% tariff on copper products from August 1, and sent tariff letters to over 20 countries, including Japan, South Korea, and South Africa. Brazil also faces a steep 50% tariff. India continues to be engaged in negotiations to seek clarity on trade deals.
- LIC Shares Decline: LIC shares were down 2.06% on the NSE, trading at ₹926.50, amidst news that the government plans to sell a minority stake in the insurance giant.
- ET Money Launches Loans Against Mutual Funds: ET Money, a 360 ONE company, launched Loans Against Mutual Funds (LAMF), allowing investors to borrow against their existing mutual fund holdings instantly without liquidating them.
- Apollo Hospital Declines: Despite recent positive news regarding its business restructuring, Apollo Hospital saw a decline, possibly due to profit-booking or broader market caution affecting healthcare stocks.
- IREDA Q1 Results: IREDA reported a significant 35.7% YoY decline in net profit to ₹247 crore for Q1 FY26, despite a 28.9% rise in revenue. The company's asset quality also deteriorated, with gross NPA rising to 4.13% from 2.45% in the March quarter.
- Tata Elxsi Q1 Results: Tata Elxsi shares declined 7% intraday post Q1 results, further adding to the IT sector's woes.
- HUL Appoints New MD & CEO: Hindustan Unilever (HUL) shares zoomed 4% intraday after the company appointed Priya Nair as its new Managing Director and Chief Executive Officer (MD & CEO) for a five-year term, effective August 1.
The movements of Foreign Institutional Investors (FIIs) and Domestic Institutional Investors (DIIs) remained critical indicators:
- Foreign Institutional Investor (FII) Activity: FIIs were net buyers on Thursday (July 10, 2025), with a net purchase of ₹221.06 crore. Their activity for Friday (July 11, 2025) will be released after market hours.
- Domestic Institutional Investor (DII) Flows: DIIs continued their strong buying momentum on Thursday (July 10, 2025), recording a significant net purchase of ₹591.33 crore in equities. Their activity for Friday (July 11, 2025) will be released after market hours.
The Indian primary market witnessed continued activity and investor interest:
Key IPOs and Listings Today/Recent:
- Smartworks Coworking Spaces IPO: This mainboard IPO, which opened for subscription on Thursday, July 10, 2025, with a price band of ₹387 to ₹407 per share, was subscribed 23% on Day 1. It aims to raise between ₹576 crore to ₹583 crore and will close on July 14.
- Cryogenic OGS Limited IPO: This SME IPO, which closed on July 7, 2025, listed on July 10, 2025, on the BSE SME platform. It was heavily oversubscribed, reaching 694.90 times.
- White Force IPO: This SME IPO also listed on July 10, 2025, on the BSE SME platform.
- Travel Food Services IPO: This mainboard IPO, which closed on July 9, is tentatively scheduled for allotment on July 10, 2025.
- GLEN Industries IPO: This SME IPO, which opened on July 8, closed on July 10, 2025. As of July 9 (Day 2), it was subscribed 12.25 times.
Individual Stock Movers:
- Innovana Thinklabs and WhiteForce hit new 52-week highs, with Innovana jumping over 11%.
- Several IT stocks, including Wipro, Tech Mahindra, Infosys, Coforge, and Persistent Systems, saw significant declines following TCS's disappointing results.
Top Gainers
- Hindustan Unilever (HUL)
- Closing Price: ₹2,520.00
- Percentage Change:+4.63%
- Observation: The stock surged after opening at ₹2,500.00 and hitting a day's high of ₹2,530.00, driven by the announcement of its new MD & CEO.
- SBI Life Insurance Company
- Closing Price: ₹1,835.00
- Percentage Change:+1.37%
- Observation: The stock showed a positive movement, opening at ₹1,814.00 and touching a day's high of ₹1,840.00.
- Sun Pharmaceutical
- Closing Price: ₹1,674.30
- Percentage Change:+0.71%
- Observation: The stock gained moderately, closing at ₹1,674.30.
- IndusInd Bank
- Closing Price: ₹858.30
- Percentage Change:+0.64%
- Observation: The stock showed slight positive movement, closing at ₹858.30.
- Axis Bank
- Closing Price: ₹1,171.60
- Percentage Change:+0.63%
- Observation: The stock ended with a marginal gain, indicating some resilience.
Top Losers
- TCS
- Closing Price: ₹3,264.50
- Percentage Change:-3.47%
- Observation: The stock was the biggest drag on the market, falling significantly after its Q1 FY26 results.
- Mahindra & Mahindra (M&M)
- Closing Price: ₹3,069.90
- Percentage Change:-2.92%
- Observation: The stock experienced a notable decline, contributing to the broader market weakness.
- Hero MotoCorp
- Closing Price: ₹4,203.00
- Percentage Change:-2.74%
- Observation: The auto sector faced selling pressure, with Hero MotoCorp seeing a significant dip.
- Wipro
- Closing Price: ₹258.10
- Percentage Change:-2.62%
- Observation: Another IT major, Wipro, also declined sharply, mirroring the sector's negative sentiment.
- Bajaj Auto
- Closing Price: ₹8,074.50
- Percentage Change:-2.54%
- Observation: The auto sector's general underperformance affected Bajaj Auto as well.
- Crude Oil Updates: Global crude oil benchmark Brent crude rose slightly by 0.34% to $68.87 a barrel, while WTI crude was up 0.42% to $66.85 a barrel. Oil prices climbed as the market considered potential US sanctions on oil-producer Russia and another round of tariff threats.
- Global Geopolitical Factors: Global markets remained attentive to President Trump's aggressive tariff policy. The imposition of new tariffs on various countries, including a 35% tariff on Canada and a 50% tariff on copper from August 1, continued to weigh heavily on global trade sentiment.
- US Market Trends: US markets closed mixed on Thursday (July 10, 2025). The Nasdaq Composite hit a new record, led by technology stocks, while the Dow Jones Industrial Average showed some weakness. Asian markets on Friday showed mixed trends, with South Korea's Kospi rising, while Japan's Nikkei fell due to profit-taking. European markets were mostly higher.
- US Jobless Data: Markets are awaiting US jobless data later on Friday, with claims expected to rise slightly, which could indicate a softening labor market.
The Indian stock market is entering a crucial period with several key events on the horizon:
- Q1 FY26 Earnings Season: The full impact of Q1 earnings, particularly from major IT companies like Wipro (July 17, 2025) and others across various sectors, will be closely watched. Corporate commentary on demand outlook and margin performance will guide market direction.
- Upcoming Economic Data: The Consumer Price Index (CPI) for June 2025, scheduled for release on July 14, 2025, will be a key indicator for inflation trends and future RBI policy.
- Global Trade Developments: The evolving US tariff situation and the August 1 deadline for new tariffs will continue to be a significant global and domestic market driver. Any further announcements or clarity on trade negotiations will be critical.
- FII Flows: The volatility of Foreign Institutional Investor (FII) flows will be closely monitored, as they are heavily influenced by global economic developments and interest rate outlooks.
The Indian stock market on July 11, 2025, continued to exhibit caution and witnessed significant declines, largely driven by the disappointing Q1 earnings from TCS and escalating global trade uncertainties. The IT sector, in particular, faced immense pressure, highlighting investor apprehension about the industry's near-term outlook. While domestic institutional investor activity continued to provide some support, the market is firmly in a "wait-and-watch" mode. Investors will keenly observe the US tariff situation, global economic data, and the flow of Q1 earnings from various sectors for definite cues on the market's future direction.