Sensex, Nifty extend losses fourth consecutive session, hit 8-month lows

Log fourth consecutive session of declines amid sustained selling by FPIs

Benchmark indices recorded their fourth consecutive session of decline, closing at their lowest levels in eight months due to concerns over the impact of US President Donald Trump’s tariff threats.

 

The Sensex ended the session at 75,311, down 425 points or 0.6 per cent, while the Nifty closed at 22,796, down 117 points or 0.5 per cent.

 

For the Sensex, Friday’s close was the lowest since June 6, 2024, and for the Nifty, it was the lowest since June 5, 2024.

 

Both indices posted their second consecutive weekly loss, with the Sensex declining by 0.8 per cent and the Nifty by 0.6 per cent during the week.

 

 

Following two days of sharp gains, the Nifty Midcap 100 and the Nifty Smallcap 100 fell 1.3 per cent and 1.1 per cent, each.

 

The total market capitalisation of BSE-listed firms fell by ₹2.6 trillion to ₹402 trillion.

 

The US President Donald Trump’s recent announcements on tariffs have added to market volatility. Trump has indicated intentions to impose tariffs of around 25 per cent on automobiles, semiconductors, and pharmaceutical imports. The tariffs are expected to be announced as early as April 2.

 

The Nifty Pharma and the Nifty Healthcare indices ended with declines of close to two per cent each on Friday, reflecting concerns over the potential impact on Indian pharma exports to the US.

 

Since October, markets have been under pressure due to disappointing corporate earnings for the September and December quarters. The earnings slowdown has been attributed to India’s deteriorating macroeconomic position, driven by a continued fall in consumption demand, a slowdown in government capex, and a weakening rupee. 

 

Aggressive selling by foreign portfolio investors (FPIs) has exacerbated the sell-off. Initially, this was in response to stimulus measures in China, and later due to the attractiveness of the US market amid concerns about policy shifts.

 

On Friday, FPIs were net sellers to the tune of ₹3,450 crore, and so far in 2025, they have sold shares worth over ₹1 trillion.

 

The Sensex’s decline on Monday was primarily driven by auto and banking stocks. Mahindra and Mahindra, which fell 6.1 per cent, was the biggest drag on the Sensex and the worst-performing Sensex stock.

 

ICICI Bank, which declined 1.4 per cent, was the second biggest contributor to the Sensex’s decline.

 

UR Bhat, Co-Founder of Alphaniti Fintech, said, “Trump is a maverick politician, and his announcements are bound to disturb the market’s craving for a sheltered existence. The sell-off will continue until there is some clarity on the US trade policy. An end to geopolitical tensions in Europe and the Middle East could open opportunities on account of reconstruction.”

 

“In the coming week, we expect the Nifty to remain in consolidation mode, tracking mixed global market cues, US trade policy announcements, and geopolitical developments with regards to the Russia-Ukraine war,” said Siddhartha Khemka, Head of Research, Wealth Management, Motilal Oswal Financial Services.

 

The market breadth was weak, with 2,304 stocks declining and 1,652 advancing. The global news flow, particularly regarding US trade policy and geopolitical developments, is likely to determine the market trajectory in the near-term, said experts.