The Indian stock market today witnessed a mixed trend with both the BSE Sensex and NSE Nifty 50 displaying significant intraday volatility. After opening firmly in the green, the indices faced broad-based selling pressure later in the session. BSE Sensex closed at 83409.69, marking a drop of 287.6 points or 0.34% from Tuesday’s close. NSE Nifty 50 ended at 25453.00, down 88.8 points or 0.35%. The opening hours saw positive momentum as the Sensex hit an intraday high of 83935.29, while the Nifty 50 traded near 25600 with an uptick of 56 points. This early optimism stemmed from robust institutional flows and supportive policy signals. However, weak cues from financial stocks and subdued auto sector data pulled the markets lower into the red by closing.

Sector Performance Highlights
Banking: The banking sector weighed heavily on the indices today. The Nifty Bank index fell by 0.80%, contributing significantly to the market’s downward pressure. Major financial names like IndusInd Bank, Bajaj Finance, Bajaj Finserv, and Shriram Finance experienced sharp declines amidst persistent FII selling and valuation concerns.

IT: The IT sector demonstrated resilience, remaining relatively flat compared to financials. Global cues were mixed, but the sector benefited from stability in the rupee and expectations of continued export demand.

Auto: Auto stocks remained subdued due to lukewarm June sales numbers, confirming cautious investor sentiment in this segment. Growth figures failed to excite traders, resulting in minimal movement for major auto counters.

Pharma: Pharma remained stable, with select large caps drawing interest due to expectations of improved performance in the upcoming quarterly results. However, the sector did not outperform on the day.

Top 5 Gainers in Indian Stock Market Today
Tata Steel +2.33%
JSW Steel +1.95%
Power Grid +1.42%
Tech Mahindra +1.25%
L&T +1.07%

Top 5 Losers in Indian Stock Market Today
Bajaj Finance -3.77%
Bajaj Finserv -3.01%
IndusInd Bank -2.45%
Shriram Finance -2.03%
HDFC Bank -1.92%

FII/DII Net Flows
Foreign portfolio investors (FII) were net sellers for the second consecutive session, offloading equities worth Rs 1970.1 crore on July 2 2025. Domestic institutional investors (DII) also remained net sellers, selling equities valued at Rs 771.1 crore. This persistent institutional outflow played a central role in the market’s weakness today.

Key Macro-Economic & Global Drivers
Several macro-economic factors shaped the direction of the Indian stock market today: US Policy Uncertainty: President Donald Trump’s confirmation that there would be no delay in new tariffs on July 9 impacted Asian sentiment, including India. GST Collection Data: June figures showed continued sluggish growth, implying caution for near-term earnings. Auto Sales: Latest data revealed soft auto sales in June, weakening momentum in the sector. FII Activity: Persistent FII selling, driven by caution over high valuations and global risk-off cues, led to additional market pressure. Metals Outperform: Easing coking coal prices and cost efficiency efforts buoyed steel names like Tata Steel and JSW Steel. For more on regulatory policy and economic updates, you can refer to the Reserve Bank of India website.

What to Watch Next
Looking ahead, market participants should closely monitor upcoming quarterly results for major banking and IT companies—preliminary numbers will provide direction for index heavyweights. FII/DII activity trends, which are likely to remain a key determinant of market sentiment. Global cues, especially in light of evolving US-China trade policy and the impending tariffs deadline. Domestic macro data: Watch for next month’s GST collection trends and industrial production data for signs of economic inflection. Policy announcements or signals, especially related to infrastructure, banking sector reforms, and any hints on fiscal support. Stay tuned to nextipoindia.com for the latest IPO listings and market insights.