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Trade Tensions Drive Market Weakness – The Nifty 50 fell 168 points to 24,427.95 and the Sensex slipped 535 points to 80,087.67 on August 8, 2025.
Broad-Based Sectoral Declines, Select Stock Gains – Most sectors, including banking, IT, textiles, and seafood exports, faced selling pressure, but select stocks like NTPC, Titan, and Trent managed gains.
Technical Level in Focus for Market Recovery – The Nifty 50 may close above 24,565 to avoid its sixth straight weekly loss, with domestic institutional buying.
Indian stock market today opened cautiously, extending their losing streak on August 8, 2025. At press time, the Nifty 50 was trading at 24,427.95, down 168.20 points or 0.68% from the previous close. The broader Sensex declined 535.59 points or 0.66% to 80,087.67, marking another day of significant losses for Indian equities.
Investors remained concerned about escalating US-India trade tensions following President Trump's additional 25% tariff announcement on Indian exports.
Sectoral indices showed widespread weakness, with Nifty Bank down 411.45 points or 0.74% to 55,109.70. Nifty IT lower by 246.30 points or 0.71% to 34,480.50, and the BSE SmallCap index losing 146.65 points or 0.28% to 51,989.68. Notably, the Nifty 50 opened today’s session 1,733.1 points away from its record high of 26,277.35. Thus, highlighting the significant correction from recent peaks.
The primary driver behind the continued market weakness remains the recent escalation in US-India trade tensions. President Trump’s decision to impose an additional 25% tariff on Indian exports, bringing the total tariff rate to 50%, has created significant uncertainty among market participants.
According to CNBC TV 18, the worst-hit sectors included textiles, with Gokaldas Exports, KPR Mill, Trident, and Welspun Living witnessing declines ranging from 0.7% to 3%. Shrimp exporters also suffered sharp losses, with Avanti Feeds plummeting 4% and Apex Frozen Foods dropping nearly 3%. Port operators such as Adani Ports continued their downward trend, slipping 1.78% in today’s session.
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On the upside, a handful of Nifty 50 constituents managed to post gains despite the market gloom. According to Moneycontrol, NTPC rose 2.09% to Rs. 336.65 and Titan Company advanced 1.53% to Rs. 3,468. Trent added 1.04% to close at Rs. 5,358.50. HDFC Life gained 0.67% to Rs. 760.80, while Tata Consumer Products edged higher by 0.49% to Rs. 1,058.
However, the Moneycontrol data top losers outnumbered the gainers, with Adani Enterprises dropping 3.28% to Rs. 2,175.90, Bharti Airtel declining 2.71% to Rs. 1,870.50, and JSW Steel falling 2.04% to Rs. 1,043.10. Grasim slipped 1.95% to Rs. 2,690.10, while Adani Ports’ 1.78% drop to Rs. 1,321.50 capped the list of major losers.
The corporate earnings season continued to deliver mixed results. Kalpataru Projects International reported a stellar performance with profit surging 154.4% to Rs. 213.6 crore and revenue jumping 34.5% to Rs. 6,171.2 crore. Medi Assist Healthcare Services also posted healthy numbers, with profit growing 19% to Rs. 22.4 crore and revenue increasing 13.6% to Rs. 190.6 crore.
In contrast, Crompton Greaves Consumer Electricals saw its profit decline 19.4% to Rs. 122.3 crore, accompanied by a 6.5% drop in revenue to Rs. 1,998.3 crore. Sun TV Network also reported weaker numbers, with profit falling 5.4% to Rs. 529.1 crore and revenue dipping 1.8% to Rs. 1,290.3 crore.
Beyond earnings, notable corporate developments influenced sentiment. Mangalore Chemicals approved the acquisition of Zuari Agro Chemicals’ granulated single super phosphate plant for Rs. 72.75 crore. Quality Power Electrical secured orders worth Rs. 34.75 crore from Abu Dhabi Transmission Company in the UAE. Zydus Lifesciences received a Notice of Compliance from Health Canada for its varenicline tablets.
Institutional flows played a pivotal role in market stability. Foreign institutional investors (FIIs) continued their selling spree with net outflows of Rs. 4,997.19 crore on August 7, following the previous day’s heavy outflow of Rs. 4,999.10 crore. Domestic institutional investors (DIIs) countered this pressure with substantial net inflows of Rs. 10,864.04 crore, providing some cushion against deeper losses.
From a technical perspective, the Nifty 50 faces the risk of posting its sixth consecutive weekly loss unless it closes above 24,565. This would mark a pattern last seen during the February–March 2020 period when the index corrected for seven straight weeks.
The Indian rupee traded flat at 87.68 per dollar, marginally stronger than August 7, 2025, close of 87.70, displaying resilience despite the equity market’s weakness. The August 8, 2025 session underscored the challenges facing Indian equities, with the Nifty 50 struggling to hold above 24,450.
Although domestic institutional buying offers some hope, the combination of trade war uncertainty and uneven earnings growth remains a major hurdle for market recovery. Investors would be prudent to maintain a cautious approach, focusing on fundamentally strong, domestically oriented companies. The index’s ability to close above 24,565 will be critical in determining whether it can break its current losing streak.
Also Read: US Stock Market Today: Apple Surges 2.8% with $100B US Investment Amid Trump's Tariff Twist, Intel Stock Dips
The market outlook remains clouded by the interplay of domestic earnings and global trade concerns. While several companies are delivering robust results, the overarching threat of prolonged trade disruptions continues to weigh on investor sentiment. Key factors to monitor in the coming days include developments in US-India trade negotiations, the trajectory of corporate earnings, and global market and commodity trends.
The market decline was primarily driven by escalating US-India trade tensions after President Trump announced an additional 25% tariff on Indian exports, raising the total tariff rate to 50%. This triggered fears of a slowdown in export-oriented sectors, such as textiles and seafood, and dampened investor sentiment. Heavy foreign institutional investor (FII) selling added further pressure despite strong domestic institutional investor (DII) buying.
2. Which sectors were most affected by the market drop?
The worst-hit sectors included textiles and seafood exports. Gokaldas Exports, KPR Mill, Trident, and Welspun Living saw losses between 0.7% and 3%, while shrimp exporters like Avanti Feeds fell 4% and Apex Frozen Foods dropped nearly 3%. The Nifty Bank index also fell 0.74%, and Nifty IT slipped 0.71%. Port operators, such as Adani Ports, continued to decline, losing 1.78% in today’s trade.
3. Were there any stocks that gained despite the broader market weakness?
Yes, a few Nifty 50 constituents posted gains. NTPC rose 2.09% to Rs. 336.65, Titan Company gained 1.53% to Rs. 3,468, and Trent climbed 1.04% to Rs. 5,358.50. HDFC Life was up 0.67% to Rs. 760.80, and Tata Consumer Products added 0.49% to Rs. 1,058. These gains were mostly due to strong earnings or defensive sector positioning.
4. How did corporate earnings impact the market sentiment?
Q1 FY26 earnings were mixed, adding to market uncertainty. Kalpataru Projects International delivered a strong performance with a 154.4% profit jump, and Medi Assist Healthcare Services reported a 19% profit increase. On the other hand, Crompton Greaves Consumer Electricals and Sun TV Network posted profit declines of 19.4% and 5.4% respectively, raising concerns about consumer demand and sector-specific challenges.
5. What is the short-term outlook for the Nifty 50?
From a technical standpoint, the Nifty 50 must close above 24,565 to avoid a sixth consecutive weekly loss, a streak not seen since early 2020. While strong DII inflows could provide support, ongoing trade tensions and uneven earnings pose significant risks. Market watchers recommend a cautious approach, focusing on fundamentally strong, domestically driven companies until clarity emerges on the trade front.
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