Indian Stock Markets Roundup: March 4, 2025

The Indian stock markets closed lower after a volatile trading session, extending losses amid global trade tensions and persistent selling pressure. The BSE Sensex ended the day at 72,986.10, down 112.16 points or 0.15%, while the NSE Nifty 50 settled at 22,088.35, declining 30.95 points or 0.14%. Broader market indices showed signs of recovery late in the day, with the BSE MidCap index closing down 0.45% (off its intraday lows) and the BSE SmallCap index falling 0.65%, reflecting a cautious market mood.

Key Highlights:

Market Sentiment: The session began with a sharp gap-down opening, with GIFT Nifty trading around 22,542 earlier, signaling a weak start driven by U.S. tariff announcements. The India VIX rose 4.8% to 16.28, indicating increased volatility. Analysts noted tariff wars and FII selling as key drags, with Nifty slipping below 22,100 intraday.
Top Gainers: Maruti Suzuki led the Nifty 50, rising 2.9% to approximately ₹12,750, buoyed by strong February sales data (197,471 units, up 9% YoY). Mahindra & Mahindra gained 2.6% to ₹2,795.70, and HDFC Bank edged up 1.8% to ₹1,704.25, supporting banking resilience.
Top Losers: Reliance Industries weighed heavily, falling 2.7%, followed by TCS (down 2.3%) and Infosys (down 2.1%), dragging the IT sector lower. Nifty IT slumped 2.5%, reflecting global tech weakness, per Live Mint updates.
Sectoral Performance: Sectoral indices were mixed. Nifty Auto rose 1.2%, driven by Maruti and M&M, and Nifty Bank gained 0.6%, aided by HDFC Bank. However, Nifty IT fell 2.5%, Nifty Metal dropped 1.9%, and Nifty Realty shed 1.5%, hit by global uncertainty.
FII and DII Activity: Foreign Institutional Investors (FIIs) sold shares worth ₹5,000 crore (provisional), pushing year-to-date outflows past ₹50,000 crore, per X trends. Domestic Institutional Investors (DIIs) bought ₹4,200 crore worth, providing some stability.

Notable Corporate Updates:

Bharti Airtel: Shares held steady with a 1.2% gain, as merger talks with Tata Play continued to bolster telecom sentiment.
Indian Railways Stocks: IRFC and IRCTC rose 3-4% after being granted Navratna status, enhancing financial autonomy.
Transrail Lighting: Surged 5% after securing ₹2,752 crore in new orders, boosting infra sentiment.

Market Context:

The decline was triggered by global trade tensions, with the U.S. imposing 25% tariffs on Canadian and Mexican imports and 10% on Chinese goods, prompting China to plan a WTO lawsuit, per X posts and Live Mint. Domestically, the market faced headwinds from FII outflows and a rupee at record lows, though DII buying and auto sector strength offered some relief. The Nifty’s five-month losing streak persists, with analysts eyeing 22,000 as critical support and 22,500 as resistance.