Markets closed marginally lower on Friday, ending a three-day winning streak as investors booked profits at elevated levels. Notably, Adani Group stocks surged up to 10% during the session after the market regulator SEBI cleared the conglomerate of all allegations made by US short-seller Hindenburg Research.
The Sensex decreased by 387.73 points, or 0.47%, to close at 82,626.23, while the Nifty 50 fell by 96.55 points, or 0.38%, settling at 25,327.05. Despite the decline on Friday, both indices achieved weekly gains of approximately 1%, with the Sensex climbing 720 points over the week.
“Markets ended marginally lower as short-term traders booked profits amid a lack of new positive triggers, demonstrating a cautious sentiment,” stated Ponmudi R, CEO of Enrich Money. “Rising delinquencies among non-banking financial companies, particularly in microfinance and vehicle loans, contributed to profit booking in financials.”
Among individual stocks, Adani Enterprises emerged as the top gainer, rising 5.25% to ₹2,528, followed by SBI Life Insurance, which increased 1.33% to ₹1,846. IndusInd Bank saw a 1.16% increase to ₹744, Adani Ports climbed 1.15% to ₹1,429, and Bharti Airtel advanced 0.97% to ₹1,959.90.
Conversely, HCL Technologies led the losses, declining 1.59% to ₹1,470, while ICICI Bank fell 1.35% to ₹1,402.50. Other notable decliners included Trent, which fell 1.21% to ₹5,082, Titan, down 1.18% to ₹3,470, and Mahindra & Mahindra, which dropped 1.13% to ₹3,600.90.
“The focus was on Adani Group stocks, which rebounded sharply after SEBI dismissed allegations of stock manipulation and financial fraud from Hindenburg Research. Adani Power surged 13%, leading the rally across the group’s stocks,” noted Hariprasad K, SEBI-registered research analyst and founder of Livelong Wealth.
Sector-wise, performance was mixed. PSU Banks emerged as the strongest performer, gaining 1.28%, followed by Realty and Pharma indices, which rose around 0.55%. However, the Nifty Private Bank and Financial Services indices experienced losses, and IT stocks faced profit-booking after a recent rally.
“The IT index slipped by 0.5%, breaking its three-day upward trend amid profit booking post a Fed rate cut-driven increase. Bank Nifty also reversed a 12-session rally with a 0.5% decrease as investors booked profits in selected heavyweights,” said Siddhartha Khemka, Head of Research at Motilal Oswal Financial Services.
Market breadth was negative, with 2,001 stocks declining compared to 2,134 advancing on the BSE. However, 162 stocks reached 52-week highs versus 60 at 52-week lows, indicating some underlying strength. The advance-decline ratio among Nifty 500 constituents showed 267 stocks were in the red, suggesting broad-based selling pressure.
“Nifty slipped on Friday after forming a hanging man pattern in the prior session. Although the short-term trend continues to favor bulls, a mild pullback from current levels appears possible,” explained Rupak De, Senior Technical Analyst at LKP Securities.
Broader markets exhibited resilience, with the Nifty Midcap 100 finishing slightly higher at 59,094.35, gaining 21.15 points, or 0.04%. In other indices, the Nifty Next 50 fell 402.30 points, or 0.58%, to 69,736.60, while the Nifty Financial Services declined by 171.05 points, or 0.64%, to 26,527.60. The Nifty Bank recorded a drop of 268.60 points, or 0.48%, closing at 55,458.85.
Foreign institutional investors played a supportive role by purchasing equities worth ₹367 crores on Thursday, contributing positively to market sentiment. “Institutionally, FIIs were net buyers on Thursday, adding ₹367 crores in equities, which bolstered market sentiment,” Khemka added.
In currency markets, the rupee traded within a narrow range near 88.08 against the dollar. “The rupee remained flat around 88.08 during a range-bound session between 88.02 and 88.28 as the market reacted to the Fed’s policy decision and US jobs data,” said Jateen Trivedi, VP Research Analyst at LKP Securities.
Gold prices hovered in a range but remained positive, gaining 0.38% to $3,657 internationally and 0.26% to ₹1,09,330 domestically. “Gold traded range-bound yet positive as the Fed’s policy supported the recent rate cut while leaving the door open for two additional cuts based on forthcoming data,” Trivedi noted.
Technical analysts maintain a cautiously optimistic outlook on the market. “We believe the short-term market outlook remains bullish; however, due to temporary overbought conditions, range-bound activity may occur soon. Consequently, buying on dips and selling on rallies would be ideal strategies for traders,” stated Amol Athawale, VP Technical Research at Kotak Securities.
Looking ahead, market participants are expected to focus on sectors poised to benefit from GST rate cuts coming into effect on September 22, coinciding with the start of Navratri festivities. “We anticipate the market to remain firm with a positive bias, supported by a potential boost in consumption due to the GST rate cuts alongside the commencement of Navratri festivities on the same day, which should further enhance demand,” analysts at Motilal Oswal concluded, setting a constructive tone for the upcoming week.
Published on September 19, 2025.
