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Stock Market Review Nifty 50 Experiences Significant Downturn
The Nifty 50 index experienced a notable decline yesterday, with stocks falling since the start of the trading day. Despite brief moments of upward movement, such as at 9:29 AM, the overall trend was downward. By the end of the day, the Nifty 50 had fallen by over 1%.
Performance of Sectors
All sectors faced declines, with metal stocks being the most affected. Metal stocks plummeted by around 4%, contributing significantly to the overall downturn of the Nifty 50.
Global Market Impact
The downturn was not limited to the Indian market. Major markets around the world also experienced declines, indicating a broader global market trend.
Top Gainers and Losers
Despite the overall negative trend, some stocks managed to post gains, while others saw significant losses.
Top Gainers
- Infosys: The stock price increased by 1.99%, closing at Rs 1,792.95.
- ITC: It saw a rise of 0.91%, ending the day at Rs 474.55.
- Asian Paints: The stock price increased by 0.49%, reaching Rs 2,946.05.
- Britannia: It experienced a slight rise of 0.11%, closing at Rs 5,877.95.
- LTIMindtree: The stock saw a marginal increase of 0.10%, ending at Rs 5,762.75.
Top Losers
- Tata Steel: The stock dropped significantly by 5.16%, closing at Rs 157.77.
- BPCL: It fell by 4.51%, ending the day at Rs 303.80.
- JSW Steel: The stock price decreased by 4.51%, closing at Rs 889.45.
- Hindalco: It saw a decline of 3.91%, ending at Rs 663.00.
- ONGC: The stock fell by 3.63%, closing at Rs 319.65.
Key News and Updates
Microsoft 365 Outages
Companies and various services worldwide faced significant disruptions due to outages affecting Microsoft 365 apps and services. This likely contributed to the negative sentiment in the market.
Forex Reserves and Economic Indicators
India’s forex reserves saw a substantial increase, rising by $9.69 billion in a week to reach a new all-time high of $666.85 billion as of July 12. Additionally, Netflix reported that India ranked second in terms of paid net subscriber additions globally and third in revenue percentage growth for the April-June quarter. Domestic natural gas usage in India rose by 3.8% year-on-year in the April-June quarter, with domestic production increasing by 5.7% and imports by 0.6%.
Sanstar IPO
The Sanstar IPO was subscribed 4.16 times on its first day, with retail subscriptions at 4.07 times. The IPO remains open until July 23.
Corporate Performance
JSW Steel
JSW Steel reported a significant decline in net profit, which fell by 63.86% year-on-year to Rs 845 crore in the April-June quarter.
Airtel
Airtel secured a multi-year contract from the Central Board of Direct Taxes (CBDT), potentially boosting its future performance.
Wipro
Wipro’s net profit rose by 4.64% year-on-year to Rs 3,003.3 crore in the April-June quarter.
BPCL
BPCL experienced a significant decline in net profit, falling by 73.30% year-on-year to Rs 2,841.55 crore in the April-June quarter.
Vedanta
Vedanta Resources regained control of the Konkola Copper Mines in Zambia after five years, paying $245.75 million for the clearance.
UltraTech
UltraTech’s net profit saw a modest increase of 0.48% year-on-year, reaching Rs 1,696.59 crore in the April-June quarter.
Tata Power
Tata Power secured projects for 100% solarisation of central, state, and UT government buildings under the PM Surya Ghar Yojana by December 2025, in collaboration with Tata Power Renewable Energy and NHPC Renewable Energy.
One97 (Paytm)
Paytm’s net loss increased by 134.99% year-on-year, reaching Rs 838.9 crore in the April-June quarter.
Commodity and Currency Updates
Gold and Silver
- Gold: The price of 10 grams of gold fell by 1.22%, closing at Rs 73,460.
- Silver: The price of 1 kg of silver dropped by 3.15%, ending at Rs 89,370.
USD-INR Exchange Rate
The USD-INR exchange rate remained stable, closing at Rs 83.64/USD.
Global Indices Performance
- Dow Jones: The index fell by 1.29%, closing at 40,665.02.
- Nasdaq: It decreased by 0.70%, ending at 17,871.22.
Long-Term Market Returns
Indian Market
- Sensex: Over the past 20 years, the Sensex has seen an average annual return of 14.94%.
- Nifty: The Nifty has experienced an average annual return of 14.73%.
US Market
- Dow Jones: The Dow Jones has seen an average annual return of 7.19% over the past 20 years.
- Nasdaq: The Nasdaq has experienced an average annual return of 11.91%.
The Nifty 50’s decline yesterday reflects broader market sentiments influenced by both domestic and global factors. While some stocks managed to post gains, the overall trend was negative, with significant declines in the metal sector and major global indices also falling. Investors will be closely watching upcoming economic indicators and corporate performance reports to gauge future market movements.