Snapping their six-day winning streak, frontline indices the Sensex and the Nifty 50 ended nearly 1 per cent down each on Friday, August 22, amid weak global cues ahead of Fed chair Jerome Powell’s speech at the Jackson Hole symposium.
Concerns over looming Trump tariffs have shredded optimism about proposed GST reforms and an S&P upgrade as the August 27 deadline for secondary 25 per cent tariffs approaches.
The Sensex fell 694 points, or 0.85 per cent, to close at 81,306.85, while the Nifty 50 settled at 24,870.10, down 214 points, or 0.85 per cent. The BSE Midcap and Smallcap indices closed 0.23 per cent and 0.35 per cent lower, respectively.
The overall market capitalisation of BSE-listed firms dropped to below ₹454 lakh crore from ₹456.3 lakh crore in the previous session, making investors lose more than ₹2 lakh crore in a session.
However, on a weekly scale, the frontline indices rose by about a per cent each, extending gains to the second consecutive week.
Indian stock market: 10 key highlights from the day
1. What drove the Indian stock market down today?
Investors booked profits across segments as there are no signs of progress on the US tariff front. The August 27 deadline is fast approaching, after which US tariffs on Indian goods will rise to 50 per cent.
A fresh escalation of tensions between Russia and Ukraine is another factor behind the sombre market mood, as it has dealt a blow to hopes that the war would end soon—a development that could potentially trigger a change in the US tariff stance toward India.
“Profit-booking, coupled with concerns over potential new tariffs under the Trump administration, weighed on market sentiment. Investors also remained wary ahead of the scheduled imposition of an additional 25 per cent tariff next week on August 27,” said Vishnu Kant Upadhyay, AVP – Research & Advisory, Master Capital Services.
Caution ahead of Powell’s speech also contributed to the market fall. Some apprehensions exist that Powell’s hawkish tone may upset the market.
“Investor sentiment turned cautious ahead of the US Fed Chair’s speech at the Jackson Hole symposium, which is expected to provide critical insights into the global liquidity outlook and future interest rate trajectory,” Vinod Nair, Head of Research, Geojit Investments, noted.
Nair added that the US using trade tariffs on India as a strategic tool in its stance against Russia has raised near-term concerns among institutional investors. However, strong domestic indicators offer support.
2. Top gainers in the Nifty 50 index
Only eight stocks managed to end higher in the Nifty index, among which Mahindra & Mahindra (up 0.74 per cent), Maruti Suzuki India (up 0.63 per cent), and BEL (up 0.25 per cent) were the top gainers.
3. Top losers in the Nifty 50 index
Shares of Grasim Industries (down 2.55 per cent), Asian Paints (down 2.40 per cent), and Adani Enterprises (down 2.28 per cent) closed as the top losers.
4. Sectoral indices today
Nifty Bank ended with a deep loss of 1.09 per cent. The Financial Services index fell 0.96 per cent.
5. Most active stocks in terms of volume
Vodafone Idea (166 crore shares), Ola Electric Mobility (26.82 crore shares), and Sagility India (10.6 crore shares) were the most active stocks in terms of volume on the NSE.
6. 11 stocks jump over 15% on BSE
Defying weak market sentiment, 11 stocks, including Chembond Chemicals, Cargosol Logistics, Resourceful Automobile, Consolidated Construction Consortium, Filtron Engineers, and Purple Entertainment, jumped over 15 per cent on the BSE.
7. Advance-decline ratio
Out of 4,240 stocks traded on the BSE, 1,757 advanced, while 2,322 declined. Some 161 stocks remained unchanged.
8. 151 stocks hit 52-week highs
Apollo Hospitals Enterprise, Cummins India, and HDFC Asset Management Company, were among the 151 stocks that hit their 52-week highs in intraday trade on the BSE.
9. Over 50 stocks hit 52-week low
Some 53 stocks, including Cohance Lifesciences, Bajaj Steel Industries, and Hikal, hit their 52-week lows during the session on the BSE.
10. Nifty’s technical outlook
According to Rupak De, Senior Technical Analyst at LKP Securities, the Nifty continues to hold above the 50 EMA, reinforcing the short-term uptrend.
“On the downside, support lies at 24,800; staying above this level keeps the trend intact with scope for an advance towards 25,000–25,250,” said De.
Santosh Meena, the head of research at Swastika Investmart, believes the Nifty faces strong resistance in the 25,100–25,225 range, while the 24,850–24,700 zone is a critical support level that must hold to sustain bullish momentum.
“A breach below this could see the index slide toward its 200-day moving average (DMA) at 24,050, signalling potential bearish pressure,” said Meena.
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Disclaimer: This story is for educational purposes only. The views and recommendations expressed are those of individual analysts or broking firms, not Mint. We advise investors to consult with certified experts before making any investment decisions, as market conditions can change rapidly and circumstances may vary.
