Stock Market Update: Nifty 50 Plunges Below 24,900, Sensex Falls 0.68% After Trump’s Pharma Tariff Shock

Indian equities are likely to open weaker on Friday, September 26, after US President Donald Trump announced 100% tariffs on pharma, furniture, and heavy trucks, heightening global trade worries. Gift Nifty futures traded near 24,930, about 47 points below Thursday’s close, signaling continued downside bias after recent losses.

Market Recap: Five Days of Decline

On Thursday, the Sensex plunged 555.95 points (0.68%) to 81,159.68, and the Nifty 50 fell 166.05 points (0.66%) to settle at 24,890.85. Ongoing selling from foreign funds, in addition to renewed fears over global trade and domestic policy issues, continued to keep investors cautious.

Foreign Institutional Investors (FIIs) offloaded equities worth nearly Rs. 5,000 crore on September 25, while Domestic Institutional Investors (DIIs) provided some cushion with net inflows of about Rs. 5,103 crore, according to NSE provisional data.

Sensex Outlook

The Sensex closed at 81,159.68 on Thursday, down 555.95 points (0.68%). Technically, the index remains under pressure with resistance defined at 81,600-81,800 and support at 80,800.

A breach of support may extend the decline toward 80,500, while a rebound above resistance may offer a short-covering rally towards 82,000.

Nifty 50 Outlook

Analysts observed that the derivatives setup had a bearish tone. Call writing has been aggressive at the 25,000 strike, making it a strong resistance level, while excessive put positioning around 24,500 indicates that this level could become immediate support.

The Put-Call Ratio (PCR fell to 0.58, indicating bearish positioning, but also hinting at overbought conditions, which could trigger a short-covering bounce.

Market experts pointed out that a sustained fall below 24,900 could accelerate declines toward 24,700-24,600, while only a decisive move above 25,100 would confirm a reversal in sentiment. 

Bank Nifty View

The Bank Nifty closed at 54,976.20, down 145.30 points (0.26%), extending its corrective phase. The index is now testing support near 54,950, which coincides with the 38.2% retracement level of the recent rally. A breach here could open the way toward 54,700-54,500, while resistance has shifted lower to 55,300.

Despite near-term weakness, some analysts remain constructive on the medium-term trend. Broking firms noted that a bounce back above 56,000 would be crucial to reigniting bullish momentum.

Also Read: US Stock Market Today: Dow Jones falls 0.4%, S&P 500 and NASDAQ drop 0.7%, Tesla slips 4%

Technical Picture and Sentiment

Indicators like the RSI have dropped below the 50 level, indicating weakening momentum, while flattening moving averages on the daily chart show fading bullish strength.

In the short term, traders are expected to stay cautious and follow global cues and developments on tariffs. A sharp recovery is likely to depend on the Nifty returning above the 25,000 level, while failure to defend the 24,740-24,770 band could deepen the corrective slide.