The Indian stock market experienced a significant downturn on Tuesday, November 4, 2025, with the Sensex plunging over 500 points and the Nifty falling below the 25,600 mark. The Sensex closed at 83,459.15, a loss of 519 points or 0.62 percent, while the Nifty 50 settled at 25,597.65, down 166 points or 0.64 percent.
Several factors contributed to this market slump. Investor anxiety grew concerning the unresolved bilateral trade pact between India and the United States. Remarks from the U.S. President regarding the July 9 deadline for imposing higher tariffs on trading partners intensified uncertainty around the India-US agreement, triggering a selloff in heavyweight financial and auto stocks.
Foreign Institutional Investors (FIIs) continued to offload Indian equities, marking their second consecutive session of selling, with shares worth ₹1,970.14 crore sold on Tuesday. This sustained outflow of FII funds signals eroding global investor confidence amidst escalating macroeconomic risks, including policy unpredictability from major central banks and mounting trade uncertainties.
Across sectoral indices, barring Nifty Consumer Durables (up 0.39 percent), all ended in the red. Nifty Metal and IT indices experienced losses of more than a percent each, while the Auto index fell by almost a percent. Nifty Bank and Financial Services also saw declines of up to half a percent.
Within the Nifty 50 index, only a handful of stocks managed to close in positive territory. Titan Company, Bharti Airtel, and Bajaj Finance were among the top gainers, rising between 1-2 percent. On the flip side, major losers included Tata Motors Passenger Vehicles, Bajaj Auto and Eternal. Hindustan Unilever (HUL) was also among the key laggards.
Despite the overall market weakness, some stocks defied the trend. Bharti Airtel's share price, for instance, reached a record high in intraday trading following the release of its Q2FY26 financial results a day prior. The company reported a massive 89 percent year-on-year growth. Furthermore, Bharti Airtel's announcement of acquiring up to 5 percent additional stakes in its subsidiary, Indus Towers, led to a 4 percent surge in Indus Towers' share price, reaching an intraday high of Rs. 396.95.
Market analysts suggest that weak market sentiment may persist as long as the Nifty trades below 25,700. Shrikant Chouhan, the head of equity research at Kotak Securities, anticipates a potential downside target of 25,550, with further weakness possibly dragging the market to the 25,450-25,400 range. However, he believes that a move above 25,700 could trigger a bounce back to 25,800 and 25,875. Sudeep Shah, the head of technical and derivatives research at SBI Securities, identifies the 25,480–25,440 zone as a crucial support level, followed by 25,310. He sees resistance at 25,820–25,840 and believes a sustained move above 25,840 could propel the Nifty to 25,960.
