The Indian stock market today ended largely unchanged after a volatile session, with investors keenly watching the global trade situation and sector movements. On August 7, 2025, both Sensex and Nifty50 closed flat, reflecting the resilience of domestic equities amid foreign policy headwinds and selective sector gains. The Sensex rebounded from significant intraday lows to close at 80,623.26, a gain of 79.27 points or 0.10 percent. The Nifty 50 finished at 24,596.15, up 21.95 points or 0.09 percent on the day. Earlier in the session, the indices had dropped sharply due to concerns over fresh US tariffs, with Sensex at one point falling below 80,000 before smart recovery in the last trading hour. Overall market breadth was weak, with 1,716 stocks advancing and 1,996 declining, while 129 were unchanged at close.

Sector Performance Highlights
Banking stocks participated in the late-stage rebound. Select large-cap lenders saw buying interest on anticipation of stable asset quality and continued credit demand, cushioning any global jitters.

The IT sector was among the best performers today, leading gains as the rupee’s slight weakness and optimism around US-India trade negotiations supported technology exporters. Stocks like Tech Mahindra and HCLTech were notable movers.

Automobile shares stayed buoyant, reflecting sustained domestic auto demand. Recent volume data and margin stability lent support despite global headwinds.

The pharma sector exhibited mild weakness following mixed Q1 results and sector rotation. Investors appeared to prefer risk-off moves amid macro uncertainty.

Top 5 Gainers
Tech Mahindra +4.8%
Eternal (Zomato) +4.1%
HCLTech +3.7%
ICICI Bank +2.6%
Maruti Suzuki +2.3%

Top 5 Losers
Adani Ports -3.2%
Trent -3.0%
Hindustan Unilever -2.8%
Sun Pharma -2.1%
Axis Bank -1.7%

FII/DII Net Flows
Foreign Institutional Investors (FIIs) recorded a net outflow of ₹2,244 crore amid global trade concerns and risk-off sentiment. Domestic Institutional Investors (DIIs) had a net inflow of ₹1,120 crore as local funds bought shares on dips. Net FII selling continues for a third straight session, reflecting caution after new US tariff announcements, while DIIs lent support, limiting the downside.

Key Macro-Economic & Global Drivers
The principal global driver was the US decision to impose 50% tariffs on Indian goods, escalating trade tensions and causing early-session turmoil. However, sentiment improved on speculation of further US-India trade negotiations and a possible diplomatic window before tariffs are implemented on August 27, 2025. Asian markets provided a positive backdrop, with key indices in the region posting gains and Wall Street futures hinting at a strong open. On the domestic front, ongoing Q1 corporate results and hopes for a revival in capital goods demand played a role. Persistent FII outflows reflected global uncertainty and risk aversion, even as select sectors attracted value buying.

What to Watch Next
Developments in US-India trade negotiations remain center stage. Watch for updates ahead of the scheduled August 24 US trade delegation visit. Follow upcoming Q1 earnings from major large caps, especially in the banking and auto spaces, which could drive sector rotation. Monitor global cues closely, particularly currency movements and announcements from the Reserve Bank of India. For authoritative updates, refer to the RBI website. Track IPO activity and primary market trends at nextipoindia.com for opportunities amid ongoing market volatility.