Markets concluded a volatile session on Tuesday with minor losses, as the Nifty 50 fell by 32.85 points, or 0.13%, to close at 25,169.50, while the Sensex decreased by 57.87 points, or 0.07%, finishing at 82,102.10. Investor sentiment remained cautious following a record low for the rupee, which weakened to 88.62 against the U.S. dollar during the trading day, ultimately settling at 88.75. This depreciation was influenced by the recent increase in U.S. visa fees and ongoing outflows from foreign institutional investors. Hariprasad K, a SEBI-registered Research Analyst and Founder of Livelong Wealth, remarked, “While a weaker currency raises concerns about import-led inflation, it is also seen as a long-term advantage for India’s IT and metals exporters.”
Heightened volatility was noted in the benchmark indices after the expiry of weekly derivative contracts. The Nifty opened at 25,209.00, slightly down from its previous close of 25,202.35, hitting an intraday low of 25,084 before a significant afternoon recovery brought it up to 25,261.
In sectoral performance, banking stocks were among the leading contributors to the market’s recovery, with IndusInd Bank rising 2.82% to ₹755.00, followed closely by Axis Bank, which gained 2.24% to ₹1,170.00. Bajaj Finance increased by 1.93% to ₹1,025.90, and the Nifty Bank index reflected this strength with a 0.41% rise.
Auto stocks also performed well, buoyed by strong sales during Navratri under the new GST regime. The Nifty Auto index climbed 0.62%, with Maruti Suzuki advancing 1.69% to ₹16,083.00. Hariprasad K noted that carmakers like Maruti Suzuki and Hyundai reported substantial bookings due to lower price points that made vehicles more affordable.
In the metals sector, JSW Steel gained 1.87% to ₹1,137.90, contributing to a 1.0% increase in the Nifty Metal index, as analysts expressed optimism regarding steady demand and supply constraints from China.
However, technology stocks faced challenges following the recent hike in H-1B visa fees by the U.S. government, which negatively impacted investor sentiment. Tech Mahindra was the hardest hit, dropping 2.16% to ₹1,472.90. Consumer goods stocks also saw profit-taking, with Trent declining 2.11% to ₹4,905.00, SBI Life down 2.01% to ₹1,820.30, and Hindustan Unilever and Nestle India dropping 1.84% and 1.72% to ₹2,524.90 and ₹1,167.90, respectively.
Technical analysts suggested that the Nifty remains range-bound, with strong support levels between 25,152–25,050 and resistance seen around 25,259–25,400. Ponmudi R, CEO of Enrich Money, commented that a sustained move above 25,167 could lead to gains toward 25,300–25,400.
The broader markets lagged for the second consecutive session, with the Nifty Midcap 100 down 0.35% to 58,496.60 and the Nifty Smallcap index down 0.53%. Market breadth indicated weakness, with 2,453 stocks declining against 1,709 advancing on the BSE; 173 stocks reached 52-week highs while 66 hit 52-week lows.
On the weekly expiry day, the benchmark Nifty index showcased volatility. After dipping to an intraday low of 25,084, the index recovered during the latter half of the session, according to Sudeep Shah, Head of Technical Research and Derivatives at SBI Securities.
In a favorable development, core sector output surged to a 13-month high of 6.3% in August, supported by robust steel and coal production. Vinod Nair, Head of Research at Geojit Investments Limited, noted that strong production data reflects the resilience of the domestic economy, aiding optimism against external challenges.
Looking ahead, analysts anticipate the Nifty to trade within a range of 25,100–25,400 in the near term. Shah highlighted that the 25,270-25,300 range may act as an immediate hurdle, while a sustained move above 25,300 could trigger a significant upside move towards the 25,450 level. Support is seen at the 25,080-25,050 range.
Published on September 23, 2025.
