Sensex-Falls-136-Points,-Nifty-50-SlipsThe domestic equity benchmarks reflected these global concerns throughout the trading session 

 

The Indian stock market traded with high volatility on Thursday, June 12, 2025, as global uncertainties weighed heavily on investor sentiment. Traders closely observed the ongoing negotiations between the United States and China over a potential trade deal. At the same time, rising tensions between the United States and Iran pushed oil prices higher, adding more pressure on global markets. 

The domestic equity benchmarks reflected these global concerns throughout the trading session. Both the Sensex and the Nifty 50 struggled to maintain gains, swinging between positive and negative territory during the day. 

 

Sensex and Nifty End Lower 

 

The BSE Sensex fell 136 points or 0.16 percent to settle at 82,379. Similarly, the NSE Nifty 50 declined by 44 points or 0.17 percent, ending the day at 25,098. Investors remained cautious due to the uncertain global backdrop. The volatility index also inched higher, reflecting growing nervousness among market participants. 

Throughout the day, several blue-chip stocks witnessed sharp movements, either gaining from sector-specific tailwinds or losing ground due to profit booking and weak global signals. 

 

Top Gainers on Sensex 

 

Asian Paints led the list of gainers on the Sensex. The stock received strong buying interest as investors showed confidence in the company’s business outlook, driven by stable demand in the decorative paints segment and steady raw material prices. Heavy trading volumes marked Asian Paints’ session, with nearly 35 million shares changing hands in a single block deal during the pre-opening session on NSE. 

Bajaj Finserv and Bajaj Finance also witnessed strong gains. Positive expectations around the growth in financial services, improving loan demand, and controlled credit costs supported the upward movement in these stocks. Investors placed their bets on these companies, considering their strong balance sheets and expanding customer base. 

Sun Pharma added to the gains on the back of renewed buying interest in the pharmaceutical sector. The company's steady export performance, coupled with a strong domestic market presence, kept its stock attractive for both institutional and retail investors. 

NTPC emerged as another notable gainer as investors sought safety in defensive stocks amid market volatility. The company's stable cash flows and long-term contracts with state electricity boards provided stability, making it a preferred choice in uncertain times. 

 

Major Losers Drag the Market 

 

Infosys faced selling pressure and ended among the top laggards. The IT major saw its stock price decline following weak cues from global technology stocks and concerns about the global demand outlook for IT services. A stronger rupee also added pressure, potentially impacting the export-heavy revenue stream of Infosys. 

Tata Motors and M&M experienced declines as concerns about rising raw material costs and slowing global demand for automobiles weighed on investor sentiment. Additionally, weak sales numbers from some key international markets contributed to the subdued mood surrounding auto stocks. 

Hindustan Unilever Limited (HUL) also saw a dip in its stock price. Analysts attributed the weakness to profit booking after recent gains, along with cautiousness over rural demand recovery. 

Eternal, a less-traded counter, faced a sharp drop, adding to the broader weakness seen in select stocks across sectors. 

 

Broader Markets Under Pressure 

 

The broader market mirrored the weakness seen in frontline indices. The Nifty MidCap index declined by 0.34 percent, while the Nifty SmallCap index fell by 0.3 percent. Mid- and small-cap stocks continued to underperform as investors preferred the relative safety of large-cap names during uncertain market conditions. 

Heightened volatility in these segments reflected the cautious approach adopted by traders. Several mid- and small-cap stocks faced sharp intraday swings as investors adjusted their positions in response to both domestic and global developments. 

 

Sector Performance Mixed 

 

Sector-wise, the performance remained mixed throughout the trading session. The Nifty Pharma index stood out as the only sectoral gainer, ending the day up by 1 percent. Buying interest in pharmaceutical companies like Sun Pharma and Cipla provided the required support. Increased demand for pharmaceutical products, stable pricing, and steady export orders boosted investor confidence in this sector. 

On the downside, the Nifty IT index lost 0.7 percent. Weak global technology stocks and uncertainty over IT spending cuts by global corporations weighed on sentiment. The pressure in IT stocks contributed significantly to the overall market weakness, with major names like Infosys leading the decline. 

 

Paytm Faces Sharp Decline 

 

Paytm witnessed a steep fall in its stock price during Thursday’s session. Shares of One 97 Communications, the parent company of Paytm, fell 10 percent to ₹864.20 on the BSE amid heavy volumes. The sharp decline followed a statement from the Finance Ministry that denied reports about charging a merchant discount rate (MDR) on Unified Payments Interface (UPI) transactions. 

The denial led to heavy selling as investors worried about Paytm’s revenue prospects, which depend significantly on UPI transactions and associated service charges. The uncertainty surrounding the payment ecosystem in India continues to impact the stock’s performance. 

 

Global Cues Remain Weak 

 

The global backdrop added to market uncertainty. Investors around the world focused on developments in the ongoing trade talks between the United States and China. While both sides indicated progress in discussions, the outcome remained unclear, keeping traders on edge. 

At the same time, rising tensions between the United States and Iran led to a surge in global oil prices. Brent crude climbed above $84 per barrel as concerns about potential disruptions in oil supply grew. Higher crude prices raised worries about inflationary pressures, which could affect both corporate profitability and consumer spending. 

The US Federal Reserve’s upcoming interest rate decision also remained a key factor influencing global market sentiment. Investors carefully monitored inflation data and policy signals from central bankers, as any unexpected moves could trigger further market volatility. 

 

Currency and Bond Market Update 

 

The Indian rupee traded in a narrow range against the US dollar. Despite global uncertainties, the domestic currency held relatively steady, supported by foreign fund inflows into equities and stable macroeconomic indicators. 

In the bond market, yields softened slightly, reflecting investor expectations that interest rates might remain steady in the near term. Softening yields provided some relief to interest rate-sensitive sectors, although equity markets largely ignored the supportive bond market cues due to overriding global concerns. 

 

Outlook Remains Cautious 

 

The overall sentiment in the market remained cautious. While strong domestic economic fundamentals, stable corporate earnings, and foreign fund inflows continued to provide some support, external uncertainties limited the market’s upward momentum. 

Market participants are expected to stay focused on upcoming global events, including further developments in US-China trade negotiations, oil price trends, and the US Federal Reserve's policy stance. Additionally, domestic factors such as corporate earnings announcements and monsoon progress will influence short-term market direction. 

Investors may continue to prefer quality large-cap stocks with strong earnings visibility and stable balance sheets during this period of heightened volatility. Sectors like pharmaceuticals and consumer staples might remain relatively stable, while export-driven sectors like IT could face continued pressure due to global demand uncertainties.