Mumbai: The Indian stock market closed the week deep in the red, with the Nifty index plunging over 170 points to fall below the key psychological level of 25,000 for the first time in nearly a month. The Sensex, mirroring the downtrend, shed more than 500 points, sliding below the 82,000 mark in another dismal trading session for investors.
This marks the third consecutive weekly decline for the Nifty, driven largely by heavy losses in banking and midcap stocks. The Nifty Bank index fell close to 1%, dragged down by a sharp dip in Axis Bank, HDFC Bank, and ICICI Bank following weak market sentiment and mixed quarterly earnings.
Among the worst-performing stocks in the broader Nifty 500 were Clean Science, Newgen Software, and Axis Bank, all of which faced investor backlash after disappointing Q1 results. In contrast, only a handful of stocks, including Saregama and JK Cements, managed to stay afloat amid the widespread selloff.
Notably, MPS Ltd. saw a steep 15% decline, raising concerns among investors about the outlook of smaller tech and publishing companies post-earnings. Meanwhile, high trading volumes were seen in names such as Saregama (30x average), Tata Communications, Clean Science, and Afcons Infrastructure, signaling speculative action in select counters.
On the corporate front, Atul Ltd. posted a 14.3% rise in Q1 net profit to ₹128 crore, despite a marginal dip in operating margins. Revenue for the quarter grew by 12%, reaching ₹1,478 crore, while EBITDA stood at ₹236 crore, up 6% YoY.
Axis Bank also made headlines with the appointment of Neeraj Gambhir as Executive Director for a three-year term starting August 4, 2025. In another significant leadership update, Gurdeep Singh has been reappointed as Chairman and Managing Director of NTPC.
From a sectoral standpoint, defence stocks remained under pressure, with Bharat Dynamics, HAL, and BEL all extending their multi-week losses. The electronics industry raised a red flag to the government over alleged informal restrictions by China on rare-earth supplies, equipment, and skilled labor putting India’s smartphone export ambitions at risk.
Meanwhile, midcap counters saw significant weakness, with names like Sona BLW, Max Healthcare, and PB Fintech posting notable drops. Inox Wind also faced its worst week since March 2025, tumbling 7% on sluggish sector performance.
On a brighter note, Anand Rathi Wealth surged 20% this week its strongest performance since listing driven by robust quarterly results. Cable and wire players like Polycab, KEI, and RR Kabel also witnessed strong momentum amid bullish projections and government order flows, particularly from BharatNet.
Internationally, the European Union approved its 18th round of sanctions against Russia, aiming to tighten the crude oil price cap to $47.6 per barrel under the G7 framework.
Investor sentiment remained cautious as high-profile lawsuits and macroeconomic uncertainties loomed. Apple made legal waves by filing a lawsuit against YouTuber Jon Prosser over alleged leaks related to iOS 26, signaling growing corporate crackdowns on trade secret violations.
In terms of expert calls, analysts recommended selling ICICI Bank and Apollo Hospitals while expressing bullish views on Godrej Properties, Astral, Oil India, and NMDC, depending on individual risk appetites.
Overall, the week painted a gloomy picture for equity markets, with signs of consolidation and defensive positioning ahead. Investors may look for cues from global trends, Q2 results, and geopolitical developments to gauge the market's next move.