On Friday, the Indian stock market witnessed a fall in the Sensex by 388 points, closing at 82,626.23, and the Nifty at 25,327.05 due to profit-taking in the IT and financial sectors. Adani Group stocks saw gains of 1-9.6%.
Market Closing: The Indian stock market experienced a decline in the final trading session of the week on Friday, September 19, 2025. Despite slight gains in Asian markets, the market slid downwards due to profit-taking in the IT and financial sectors. Additionally, profit booking in the auto sector also put pressure on the market. The rally that had continued for three consecutive trading sessions came to a halt, and investors appeared cautious.
The BSE Sensex opened with a decline of about 150 points at 82,946.04. The fall intensified during early trading, with the Sensex slipping to an intraday low of 82,485.92. It finally closed down by 387.73 points, or 0.47 percent, at 82,626.23. Similarly, the National Stock Exchange (NSE)'s Nifty-50 opened at 25,410.20 and slipped to the 25,286 level during trading. It eventually closed down by 96.55 points, or 0.38 percent, at 25,327.05.
Ponmudy R, CEO of SEBI-registered online trading and wealth tech firm Enrich Money, stated that the slight market decline occurred because short-term traders engaged in profit-taking due to the absence of any positive triggers. He explained that selling was observed in financial stocks, particularly due to an increase in default rates in the NBFC sector, especially those related to microfinance and auto loans.
Furthermore, weak second-quarter results and high valuations in the IT and consumer sectors eroded investor confidence. Although the US Federal Reserve's interest rate cuts provided some relief, domestic negative factors could not prevent profit-taking. As a result, investor sentiment remains cautious for now.
Top Gainers and Losers
Among the top Sensex losers were shares of HCL Tech, ICICI Bank, Trent, Titan Company, and Mahindra & Mahindra. These stocks registered declines of up to 1.52 percent. On the other hand, shares of Adani Ports, State Bank of India (SBI), Bharti Airtel, NTPC, and Asian Paints saw gains of up to 1.13 percent.
In the broader market, the Nifty Midcap 100 and Nifty Smallcap 100 indices closed with marginal gains of 0.04 percent and 0.15 percent, respectively. On the sectoral front, the Nifty PSU Bank index performed better, closing with a gain of 1.28 percent. Nifty Metal, Nifty Pharma, and Nifty Realty indices also ended in the green. Conversely, the FMCG, IT, Auto, and Private Bank indices saw declines of up to 0.65 percent.
Surge in Adani Group Stocks
Adani Group stocks surged between 1 percent and 9.6 percent on Friday. This surge came after SEBI's latest report, which dismissed allegations of stock manipulation made by short-seller Hindenburg Research against billionaire Gautam Adani and his conglomerate. Among the nine companies, Adani Power shares climbed the most, closing up 9.6 percent. Shares of the group's flagship company, Adani Enterprises, registered gains of up to 4.4 percent.
Impact of Global Markets
During Friday's trading, most Asian markets showed gains, reflecting the upward trend seen on Wall Street on Thursday. The Nikkei index rose by 0.8 percent, reaching a record high for the second consecutive session. Investors are awaiting the decision from the Bank of Japan's two-day policy meeting. Economists participating in a Reuters survey believe that interest rates will remain stable at 0.5 percent.
According to Japan's latest economic report, core inflation in August fell to 2.7 percent, its lowest level since November 2024. This marks the third consecutive month of decline in core inflation. Meanwhile, headline inflation decreased from 3.1 percent in July to 2.7 percent. Australia's ASX 200 index rose by 0.74 percent, while the Kospi index fell by 0.5 percent.
Meanwhile, US markets on Wall Street saw gains on Friday. The Federal Reserve signaled the start of interest rate cuts, bolstering hopes for economic growth. The S&P 500 rose by 0.48 percent, the Nasdaq by 0.94 percent, and the Dow Jones by 0.27 percent. On Thursday, all three major indices had reached their highest intraday levels to date.
