The Nifty declined 155.05 points or 0.61 per cent to 25,144.30, the Sensex slipped 318.56 points (0.39 per cent) to 81,592.45 and Bank Nifty fell 484.40 points (0.79 per cent) to 61,034.10
October retail inflation climbed to 6.09 per cent, breaching the RBI’s upper tolerance threshold of 6 per cent.
Hariselvan Radhakrishnan, Founder & CEO of HST Wealth, said Indian equities ended lower as rising domestic inflation and renewed geopolitical uncertainty prompted investors to turn cautious, interrupting the recent market rally. Inflation revived concerns over the interest-rate outlook, he said, adding, “the reading weighed particularly on rate-sensitive sectors, where investors booked profits following the sharp gains in recent sessions, reflecting a more guarded approach towards equities amid growing macroeconomic and geopolitical risks”.
The Nifty declined 155.05 points or 0.61 per cent to 25,144.30, the Sensex slipped 318.56 points (0.39 per cent) to 81,592.45 and Bank Nifty fell 484.40 points (0.79 per cent) to 61,034.10. Nifty SmallCap100 and Midcap100 tumbled 0.26 per cent and 0.24 per cent respectively.
Resilient week
For the week, Nifty 50 and Sensex rose 0.5 per cent and 0.7 per cent after recording their strongest weekly gains in more than six years last week. Bank Nifty rose over 3 per cent even as Nifty IT index fell 3.2 per cent, snapping a six-week winning streak. The broader small-caps and mid-caps also rose 3.6 per cent and 2.1 per cent, respectively, as buying spread beyond large-caps.
Foreign portfolio investors bought another ₹5,253.98 crore on the NSE. According to NSDL data, FPIs bought nearly ₹84,000 crore in Indian equities sans today’s data.
Among the sectors, financial services, private banks, automobiles and realty slipped on Friday, while energy and healthcare edged up.
Vikram Kasat, Chief Business Officer – Advisory and Dealing, PL Capital, said the current correction suggests that markets are increasingly uncomfortable with the combination of elevated inflation, currency depreciation and rising crude prices. While global uncertainties are adding to the cautious sentiment, the bigger concern is the potential second-order impact of higher energy prices on corporate margins, consumption and India’s current account deficit. With inflation moving beyond the RBI’s comfort band, expectations of monetary easing could also be pushed further out, limiting the scope for a sustained market recovery.
“We believe this phase calls for greater selectivity rather than a broad-based defensive approach. Banking, capital goods and consumption-oriented stocks will need to demonstrate earnings resilience to attract fresh buying,” he said, adding that going forward, the trajectory of crude prices, currency stability and foreign investor flows will be critical in determining whether this correction remains a near-term consolidation or develops into a deeper earnings-led adjustment.
Published on November 13, 2026
