Dalal Street Slumps: Nifty Below 25,200, Sensex Sheds 700 Pts as IT, Auto Drag

Markets slump on TCS earnings disappointment, profit booking across sectors; Glenmark Pharma, HUL offer rare relief

Mumbai, July 11 – Indian equity benchmarks remained under bear control through Friday’s session as broad-based selling, weak IT earnings, and technical breakdowns dragged the Nifty 50 below 25,200 and the Sensex down over 700 points at intraday lows. With volatility spiking and sectoral breadth largely negative, experts advise a cautious “wait and watch” stance, especially after TCS’s muted Q1 results triggered concerns about the overall earnings season.

By 2:40 p.m., the Sensex was down 634.49 points (0.76%) at 82,555.79, while the Nifty slipped 188.85 points (0.74%) to 25,166.40. Market breadth was clearly negative, with 2,205 declining shares vs. 1,261 gainers, reinforcing bearish momentum. The Nifty Midcap 100 and Smallcap 100 indices also lost 0.7% and 1%, respectively.

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TCS Earnings Weigh on IT, Drag Sector Down 1.8%

The sharpest sectoral losses were seen in Nifty IT, which fell 1.8%, led by negative sentiment post TCS Q1 results. The company posted a 6% YoY profit growth to ₹12,760 crore but disappointed on revenue metrics. Rupee revenue rose just 1.3%, while constant currency revenue fell 3%, impacted by BSNL contract exit and macro softness.

“TCS commentary reflects continuing pressure on large-cap IT firms. Unless midcap IT surprises, Nifty IT could stay weak,” said an analyst from a domestic brokerage.

Other sector losers:

• Nifty Media: -1.5%

• Nifty Auto: -1.4%

• Nifty Realty / Infra: -1% each

Glenmark Pharma, HUL Offer Pockets of Resilience

On the flip side, Nifty Pharma bucked the trend, rising 0.9%, aided by a 20% rally in Glenmark Pharma. The surge came after its subsidiary signed a global licensing deal for cancer drug ISB 2001 with AbbVie, triggering buying interest.

Nifty FMCG also gained 0.7%, led by Hindustan Unilever Ltd (HUL) after it announced that Priya Nair would take over as CEO from August 1, 2025, succeeding Rohit Jawa. Markets viewed the change positively, anticipating a strategic reset at the FMCG major.

Breakdown Below 25,300 Sparks Fresh Weakness

From a technical perspective, Nifty’s breach of the 25,300 level confirmed a short-term breakdown, with downside targets now placed near 25,100–25,000, according to Mandar Bhojane, Senior Analyst, Choice Broking.

“Unless Nifty reclaims 25,500–25,600 resistance zones, it remains vulnerable. Traders should avoid aggressive positions and use stop-losses.”

Volatility is expected to remain elevated as global cues remain uncertain, earnings season is underway, and traders digest macro-level shifts in leadership, taxation, and geopolitical conditions.

Elevated Volatility Ahead – Focus on Pharma, FMCG, Defensive Picks

With market sentiment fragile and no immediate triggers for a sharp rebound, analysts recommend staying defensive. Pharma, FMCG, and selective large-cap consumption plays may offer relative shelter.

Sectors to Watch:

• IT & Auto – Weakness likely to persist post earnings

• Pharma – Tailwind from global licensing deals, Glenmark action

• FMCG – Leadership change at HUL may spark re-rating

Support Levels:

• Nifty: 25,000–25,100

• Sensex: 82,000–82,200

• Nifty: 25,500–25,600

Check This:

• Hindustan Unilever Stock Price
• Glenmark Pharma Stock Price