Indian Stock Market Suffers Worst Week In Eight Months: Top Gainers and Losers
The Indian stock market suffered its sharpest weekly fall in nearly eight months, with both the Sensex and Nifty ending deep in the red. The Sensex shed 2.66% this week, weighed down by heavy losses in IT, auto, and pharma counters. The Nifty fell 3% over the past six sessions, slipping below the key 25,000 mark, while the broader markets underperformed with Nifty Midcap100 and Smallcap100 each down more than 2%.
Top Gainers: Maruti Suzuki, Axis Bank, and Larsen & Toubro
Despite the rout, a handful of stocks managed to buck the trend. Maruti Suzuki India Ltd. emerged as the best performer on the Sensex, rising 2.49%. Axis Bank Ltd. followed with a gain of 1.57%, while Larsen & Toubro Ltd. added 1.50%. These stocks have been consistent performers in recent times, and their gains this week are a testament to their strong fundamentals.
Top Losers: Tech Mahindra, Tata Consultancy Services, and Trent
In contrast, the selloff was brutal across heavyweight counters. Tech Mahindra Ltd. plunged 9.43%, Tata Consultancy Services Ltd. dropped 8.51%, and Trent Ltd. lost 7.84%, making them the worst performers on the index. Infosys Ltd. and HCL Technologies Ltd. also fell sharply, declining 5.95% and 4.92%, respectively. The IT sector has been under pressure in recent times, and this week’s losses are a reflection of the challenges faced by the industry.
Pharma Stocks Witness Significant Declines
Pharma stocks witnessed significant declines after the United States announced a 100% tariff on imports of branded drugs starting Oct. 1, unless the manufacturer operates a production facility in the US. This move is expected to have a significant impact on the Indian pharma industry, and investors are advised to exercise caution when investing in these stocks.
Sectoral Analysis: IT and Realty Take the Heaviest Blows
Sectorally, nearly all indices saw profit-booking at higher levels, with IT and Realty taking the heaviest blows, as per analysts. The IT index slipped 7.73% for the week, while Realty shed nearly 6%. Brokerages remain cautious on Indian IT, with Jefferies flagging a steady-to-moderating growth outlook, while Goldman Sachs warned FY27 estimates could be at risk without a pickup in discretionary demand. Citi added that FY26 may be the third straight year of weak growth amid AI disruption, GCC expansion, and rising competition.
Technical Analysis: Market Slips Below 20- and 50-Day Simple Moving Averages
On the technical side, the market slipped below its 20- and 50-day simple moving averages as Sensex breached the crucial 81,800 support zone, a development analysts flagged as negative. This is a bearish signal for investors, and they are advised to be cautious in the near term.
Market Outlook: Near-Term Pressure Expected
We expect markets to remain under pressure in the near term, tracking global headwinds, key macroeconomic data, and potential development around the India–US trade talks, said Siddhartha Khemka of Motilal Oswal Financial Services. Investors are advised to stay informed and adapt to the changing market conditions to minimize losses and maximize gains.
Conclusion
In conclusion, the Indian stock market has witnessed a significant decline this week, with the Sensex and Nifty ending deep in the red. While some stocks have managed to buck the trend, others have suffered significant losses. Investors are advised to exercise caution and stay informed to navigate the challenging market conditions. For more information on the Indian stock market and investment strategies, please visit our investing section.