1. Why did the Indian stock market fall today?
The Indian stock market fell today mainly due to heightened trade war fears after the Trump administration confirmed an additional 25% tariff on Indian imports effective August 27. This policy move has raised investor anxiety, especially in export-heavy sectors like metals, auto, and IT. Investors worry about shrinking global demand and higher trade costs, triggering widespread selling across benchmark indices.
2. Which sectors performed the worst in today’s trading session?
Banking stocks were the biggest laggards, with Nifty Bank falling 0.94% to close below 55,000 for the first time in over three months. Metals dropped over 1.2% as Tata Steel and peers faced tariff pressure. The real estate index also slipped 1.6%, while auto declined 0.6%. These declines reflected investor caution over sectors heavily linked to global trade and interest rate sensitivities.
3. Which stocks and sectors showed resilience today?
The FMCG sector provided the only relief in today’s selloff, with the Nifty FMCG index gaining 0.5% led by Hindustan Unilever (+2.37%), Nestle (+2.22%), and Colgate (+1.42%). Investors preferred defensive consumption-driven stocks less exposed to external trade risks. Eicher Motors (+2.03%) also supported gains. This resilience highlights investors’ flight to safety in sectors with steady domestic demand and limited reliance on exports.
4. How did institutional investors behave in today’s market?
Foreign Institutional Investors (FIIs) extended their selling streak with net outflows worth Rs. 2,466 crore, signaling global caution around India’s exposure to US tariffs. In contrast, Domestic Institutional Investors (DIIs) supported the market with net inflows of Rs. 3,177 crore. This divergence reflects local confidence in India’s long-term fundamentals, even as FIIs adopt a risk-off stance amid geopolitical and trade uncertainties.
5. What are the key support and resistance levels to watch for Nifty and Sensex?
For Nifty 50, immediate support lies at 24,700-24,750, aligned with the 20-day exponential moving average (20-DEMA). Resistance is at 24,950-25,000. For Sensex, support is at 80,800-81,000, with resistance between 81,500-82,000. If support levels break, deeper corrections could follow. Traders are closely monitoring these zones as decisive moves may determine short-term direction amid tariff uncertainties.