The Indian stock market today, August 5, 2025, experienced a cautious session as global uncertainties and tariff concerns pressured sentiment. The Sensex closed at 80710.25, down 308.47 points or 0.38 percent. The Nifty 50 ended at 24649.55, declining 73.20 points or 0.30 percent. Weak market breadth emphasized nervousness, with 1708 stocks advancing and 2184 declining. Volatility surfaced after US President Donald Trump’s fresh threat of substantial new tariffs on Indian exports due to continued imports of Russian oil. Across most of the session, both indices hovered in negative territory, with the broader market also declining by up to 0.8 percent.

Sector Performance Highlights
Banking sector faced selling pressure reflecting overall market weakness. Most banking stocks moved in the red after tariff announcement. IndusInd Bank jumped 5% after RBI approved Rajiv Anand as MD and CEO, showing optimism amid sector downturn.

Information Technology stocks ended the day lower by around 0.5 percent due to global trade flow concerns and US tariff threats increasing overseas risk.

Auto sector defied the broad sell-off, closing up 0.5 percent, supported by strong domestic sales and expectations of continued manufacturing policy support.

Pharma stocks declined modestly by about 0.5 percent amid ongoing global trade issues and cautious earnings projections from key players.

Top 5 Gainers
IndusInd Bank +5.0%
Tata Motors +2.7%
Bajaj Auto +1.9%
Maruti Suzuki +1.5%
Hero MotoCorp +1.1%

Top 5 Losers
Reliance Industries -2.2%
Infosys -2.0%
HDFC Bank -1.8%
Lupin -1.5%
Bajaj Finance -1.3%

FII/DII Net Flows
Foreign Institutional Investors recorded a net outflow of ₹1450 crore on August 5, 2025, reflecting risk aversion amid global trade tensions. Domestic Institutional Investors provided some stability with net inflows of ₹980 crore. Active DII participation partly offset FII selling, cushioning further downside. For detailed flows, consult official SEBI FII/DII statistics.

Key Macro-Economic & Global Drivers
Indian equities were hit by renewed global economic risks, mainly the US’s threat of new tariffs on Indian goods over Russian oil imports, escalating US-India trade tensions following last week’s tariff threat. Market awaited key US Services and Manufacturing PMIs for global growth insights. Domestic investors watched quarterly earnings from Bharti Airtel, Adani Ports, Prestige Estates, Bharti Hexacom, and Lupin. Currency volatility, rupee weakness, and Brent crude prices added uncertainty. RBI’s upcoming monetary policy meeting is highly anticipated.

What to Watch Next
Investors should monitor US-India trade developments and tariff updates, key earnings from major Nifty and Sensex stocks, RBI’s policy meeting for interest rate signals, monsoon progression affecting rural demand, and global cues like US economic data and Brent crude price movements. For IPO updates and market opportunities, visit nextipoindia.com. For authoritative economic data and policy commentary, refer to RBI’s official site.