Sensex-Falls-636-Pts,-Nifty-Below-25,200

A sharp fall in IT stocks, led by Tata Consultancy Services (TCS), puts pressure on both benchmark indices


The Indian stock market is trading in the red on Friday, July 11, 2025. A sharp fall in IT stocks, led by Tata Consultancy Services (TCS), puts pressure on both benchmark indices. Weak Q1 results from TCS spark a wave of selling in the broader IT sector, affecting overall market sentiment.

Market Overview

At midday, the BSE Sensex drops 636 points, trading at 82,554, while the Nifty 50 slips 206 points to 25,150. Both indices reflect cautious investor sentiment following disappointing earnings reports from some heavyweight companies.

The Nifty MidCap index falls 0.9%, and the Nifty SmallCap index declines 1%, showing weakness across broader markets. Selling pressure is visible in several high-performing mid and small-cap stocks.

Sector Performance

Nifty IT Index: Down 1.6%

The IT sector leads the losses after TCS posts weaker-than-expected results. The Nifty IT index falls 1.6%, with top firms like Infosys, Tech Mahindra, and HCL Technologies also trading lower. The overall mood in the tech space remains subdued.

Nifty Auto Index: Down 1.24%

Auto stocks are under pressure as well. The Nifty Auto index falls 1.24% amid weak global cues and profit booking after a recent rally.

Gainers: FMCG and Pharma Shine

On the positive side, Nifty FMCG and Nifty Pharma indices both rise 0.81%, offering some support to the market. Defensive buying and company-specific developments help these sectors hold firm.

Top Laggards and Gainers

Top Laggards (Sensex & Nifty):

TCS: Falls 2% after weak Q1 results.

Infosys, Tech Mahindra, HCL Tech: Decline up to 3% amid IT sector pressure.

M&M: Slips due to weak auto sentiment.

Eternal (Zomato), Bajaj Finserv, Trent: Trade lower on profit booking.

Reliance Industries, HDFC Bank, Bharti Airtel: See marginal declines.

Top Gainers:

Hindustan Unilever (HUL): Rises 4% intraday after announcing Priya Nair as the new MD & CEO.

NTPC, Power Grid, Axis Bank, Adani Ports: Post moderate gains due to sector rotation and stable fundamentals.

Buzzing Stocks

Tata Consultancy Services (TCS)

TCS shares drop 2% after the company reports Q1 FY26 revenue of ₹63,437 crore, which is a 1.3% rise year-on-year. However, revenue falls 3.1% in constant currency terms, disappointing investors. The company’s performance raises concerns about future IT spending, especially from global clients.

Infosys and Tech Mahindra

Both stocks decline in sympathy with TCS. Investors show concern about the entire IT sector’s near-term outlook. Weak demand from key international markets and lower margins are expected to weigh on earnings.

Glenmark Pharmaceuticals

Glenmark shares hit the 10% upper circuit after its wholly-owned subsidiary, Ichnos Glenmark Innovation Inc., announces global plans to commercialize ISB 2001, a lead investigational drug for oncology and autoimmune diseases. Strong investor interest follows this development.

IREDA

IREDA shares fall 5% after the company posts a 36% decline in net profit for Q1 FY26. Weak earnings weigh on the stock, triggering selling pressure.

Tata Elxsi

Tata Elxsi shares fall as much as 7% intraday after its Q1 results fail to meet market expectations. Analysts point to slower growth in product engineering and operational headwinds as reasons for the drop.

Hindustan Unilever (HUL)

HUL emerges as a standout performer. The stock rises 4% after the company announces Priya Nair as its new Managing Director and Chief Executive Officer, effective August 1, for a five-year term. The market reacts positively to this leadership transition, expecting continuity in growth strategy.

Global Market Impact

Global markets also show signs of weakness, influencing domestic investor mood. Asian indices are mixed, and European markets open lower due to concerns over inflation and interest rates. US futures remain flat ahead of key inflation data.

Higher US bond yields and cautious global economic outlooks contribute to volatility in equity markets. The global technology sector also reflects softness, aligning with the correction in Indian IT stocks.

Market Sentiment and Outlook

Today’s sharp fall indicates short-term weakness in Indian equities, especially in sectors like IT and auto. Broader market participation remains low, as seen in the negative performance of mid and small caps. While FMCG and pharma provide some relief, market sentiment remains cautious.

Traders and analysts are closely watching upcoming earnings from companies like Infosys and Wipro next week. Policy cues from global central banks, especially the US Federal Reserve, may also drive investor behavior in the near term.

Defensive sectors such as FMCG, utilities, and pharma could see continued interest if volatility persists. On the other hand, high-beta sectors like IT and auto may stay under pressure unless earnings or macro cues improve.

Key Levels to Watch

Nifty 50: Strong support seen near 25,000; resistance near 25,300.

Sensex: Support lies at 82,300; resistance lies around 83,200.

A break below these support levels may lead to further downside, while a bounce could see markets retest weekly highs.

Final Thoughts

Indian stock markets remain under pressure on July 11, 2025, led by selling in heavyweight IT stocks following weak earnings from TCS. Broader market sentiment is cautious, and weakness in global equities adds to the downtrend. However, pockets of strength in FMCG and pharma offer some relief.

Stock-specific news drives sharp movements in several counters. Investors are expected to stay focused on upcoming earnings and global developments before taking fresh positions. Until clarity returns, the market may continue to see a mix of sector rotation, cautious trading, and selective buying in defensives.