Sensex drops 423 points; Nifty falls 108

Kaityn Mills
2 Min Read
sensex drops 423 points; nifty falls 108

Reliance Industries, Bharat Petroleum Corporation, and Infosys were among the most active stocks on January 17, 2025. The Sensex dropped 423.49 points or 0.55% to close at 76,619.33. The Nifty fell 108.60 points or 0.47% to end at 23,203.20.

Infosys, Axis Bank, Shriram Finance, Kotak Mahindra Bank, and M&M were the major losers on the Nifty. BPCL, Reliance Industries, Bharat Electronics, Nestle India, and Hindalco Industries emerged as the top gainers. The BSE Midcap and Smallcap indices closed flat.

IT and banking indices shed 2% each. Oil and gas, power, FMCG, PSU, capital goods, realty, and metal indices added 1% each. Markets remained under pressure due to rising US bond yields.

FII outflows, geopolitical instability, and concerns over the slow pace of US interest rate cuts added to the bearish sentiment. Rupak De of LKP Securities said the Nifty remained under bearish pressure and sentiment remains weak.

Sensex drops amid mixed market signals

If it breaks below this level, the index may drift towards 23,000, with 23,400 acting as a strong resistance point. Ajit Mishra of Religare Broking noted the market’s volatility. The early weakness was caused by the reactions of IT and banking heavyweights to earnings.

However, Reliance, ITC, and LT displayed resilience, limiting the overall decline. Tech Mahindra’s Q3 net profit fell by 21.4% to Rs 983 crore. Wipro’s Q3 revenue increased to Rs 22,285 crore, and EBIT was up 4.5% to Rs 3,899 crore.

It declared an interim dividend of Rs 6 per share. The Indian rupee closed lower by 6 paise at 86.61 per dollar. Stallion India Fluorochemicals’ IPO was subscribed 26.04 times by the end of Day 2.

Today’s market activity reflected a mixed sentiment. Key insights suggest that investors should be cautious during this earnings season, focusing on stock-specific opportunities while maintaining a “sell on rise” strategy for the index.

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Kaitlyn covers all things investing. She especially covers rising stocks, investment ideas, and where big investors are putting their money. Born and raised in San Diego, California.