The Sensex dropped 650 points, or 0.79%, settling at 82,076.66, while Nifty lost 196.10 points, or 0.78%, closing at 25,023.80.
The market started on a positive note, but a combination of factors, including weak earnings from key companies, foreign institutional investor (FII) selling, and concerns over rising global crude prices, weighed heavily on investor sentiment throughout the session.
Key factors behind today’s market decline:
- Nestle India Q1 results: Nestle India’s disappointing quarterly earnings sent shockwaves across the FMCG sector, causing a ripple effect on the broader market.
- FII outflows: Foreign institutional investors were net sellers of Indian equities worth Rs 4,209.11 crore on Wednesday, further adding to market pressure.
- Selling in heavyweight stocks: Heavyweight stocks such as Infosys, Trent, and Tech Mahindra dragged the market down.
- Rising crude oil prices: Brent crude futures rose to USD 68.72 a barrel, contributing to concerns over inflation and rising input costs for companies.
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Impact on the Stock Market
Sectoral Indices Performance
The market saw broad-based weakness today. From sectoral declines to stock-specific drops, here’s how different parts of the market were impacted:
- Nifty IT: The IT sector had a tough day, with the Nifty IT index falling nearly 2%. This was primarily driven by midcap IT stocks like Persistent Systems and Coforge, both of which dropped by 9%. Infosys, which holds a large weightage in the Nifty IT index, also saw a 1% decline, further dragging the sector down.
- FMCG: The Nifty FMCG index experienced a dip of over 1%, largely due to the steep fall in Nestle India’s stock price, which led the broader FMCG sector lower. Rising input costs and the pressure on margins remain a persistent challenge for the sector.
| Sector/Index | Performance |
| IT & BPM sector | -2.21% |
| Healthcare sector | 0.65% |
| Oil & Gas sector | -0.78% |
| Real estate sector | -1.04% |
| PSU Bank in India | 1.24% |
Top gainers today
| Company | Price (in ₹) | Change % |
| Eternal Share price | 313.15 | 3.67 |
| Tata Motors Share price | 700.50 | 1.51 |
| Dr Reddys Labs Share price | 1,265.50 | 1.45 |
| Grasim Share price | 2,735.90 | 0.99 |
| Cipla Share price | 1,487.90 | 0.98 |
Top losers today
| Company | Price (in ₹) | Change % |
| Nestle Share price | 2,322.10 | -5.32 |
| Trent Share price | 5,154.00 | -3.83 |
| Shriram Finance Share price | 633.55 | -3.13 |
| Tech Mahindra Share price | 1,498.60 | -3.10 |
| Reliance Share price | 1,402.90 | -1.52 |
Market Aftermath: Impact on Stocks
Nestle India: A Major Loser
Nestle India’s share price dropped nearly 5% today, emerging as one of the biggest losers on the Nifty index. The FMCG giant’s disappointing Q1 results, marked by a 13% decline in net profit, left investors shaken. Nestle’s profit for the quarter stood at Rs 647 crore, significantly missing analyst expectations of Rs 751 crore. The weak earnings were attributed to rising input costs and higher expenses related to expanding manufacturing capabilities. The stock’s decline dragged down the FMCG index and had a ripple effect on other consumer goods companies.
Also read: List of FMCG Stocks in India 2025
Force Motors: On the Up
On a positive note, Force Motors shares soared by over 15% today, driven by its strong Q1 performance. The company reported a 52% YoY growth in net profit, reaching Rs 176 crore, thanks to robust demand for its vans and commercial vehicles. Force Motors also saw a 22% rise in revenue, driven primarily by its domestic sales growth, which rose by 26%. The stock’s impressive gains bring it closer to its 52-week high, showcasing the strength of its product offerings in the small CV and MUV markets. Notably, Force Motors also holds a strong position in the defense sector, with an order for defense vehicles secured earlier this year.
Bajaj Housing Finance and Sapphire Foods: Mixed Results
Bajaj Housing Finance’s shares slipped by 1% after its Q1 FY26 results, which showed a slight sequential drop in profit. The company reported a 21% YoY increase in profit, reaching Rs 583 crore, but the sequential dip raised concerns. On the other hand, Sapphire Foods, the operator behind KFC in India, saw its stock drop 1% after releasing its Q1 earnings. Despite the decline, analysts remain optimistic, with Motilal Oswal and JM Financial keeping their “Buy” call on the stock, citing up to 16% potential upside.
In contrast, Senores Pharma bucked the trend by rallying 12%, driven by positive investor sentiment following its earnings release.
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Crude Oil: What’s Driving Oil Prices?
Meanwhile, crude oil prices saw a slight increase today. Brent crude futures rose by 0.31%, trading at USD 68.72 per barrel. Similarly, US West Texas Intermediate (WTI) crude climbed by 0.3%, settling at USD 65.47 per barrel. This uptick was mainly due to optimism surrounding ongoing US trade negotiations, particularly between the US and the EU. Analysts noted that the decline in US crude inventories also contributed to the price rise. However, concerns about geopolitical tensions, including the ongoing Russia-Ukraine conflict, continue to weigh on global oil markets, limiting further price increases.
Conclusion
In conclusion, July 24, 2025, was a tough day for the Indian stock market, with a significant pullback across major indices, largely driven by weak corporate earnings, particularly from FMCG players like Nestle India. Foreign selling, weakness in the IT sector, and rising crude oil prices also added to the pressure. However, stocks like Force Motors demonstrated that pockets of strength still exist in the market, with robust growth despite the broader market slump.
For investors, it’s crucial to keep an eye on global trade developments, particularly US-EU negotiations, as well as how Indian companies adapt to the increasing cost pressures from rising crude prices. With ongoing market volatility, investors should remain cautious while also seeking opportunities in sectors showing resilience.
For more stock market insights, check out the StockGro blog.
