More Stories

Informist, Monday, May 19, 2025

By Akash Mandal

MUMBAI – The benchmark indices ended slightly lower Monday with investors taking profits at higher levels. Both indices moved in a relatively narrow range with the Nifty 50 moving in a range of around 150 points. While both indices were flat for most of the day, they fell slightly in the latter part of the session. The Nifty 50 closed below the psychologically crucial 25000 level after two sessions. The India VIX, which is the fear gauge of the market, was nearly 5% higher after falling for five straight days.

The Nifty 50 ended at 24945.45 points, down 74.35 points or 0.3%. Many derivatives analysts expect the Nifty 50 to consistently face selling pressure above 25000 points as investors keep taking profits at higher levels after the sharp 4% gain last week. However, some analysts also expect investors to cover some short positions above this level, which might take the index to 25500 points. Heavyweights Reliance Industries, ICICI Bank, and Infosys ended 1-2% lower and were the biggest drag on the index. The BSE Sensex ended at 82059.42 points, down 271.17 points or 0.3%.

Information technology stocks were among the worst hit in the market with Infosys, Tata Consultancy Services, Tech Mahindra, and Mphasis ended 1-3% lower. The Nifty IT came off lows but still ended over 1% down, having fallen nearly 1.5% intraday. Moody's Ratings Friday downgraded the long-term issuer and senior unsecured ratings of the US to 'Aa1' from 'Aaa'. The downgrade came amid fears that the US might slip into a recession amid a slowing economy and fears of tariff-driven inflation.

Indian IT companies derive a large portion of their revenue from clients in the US. A slowdown in the US economy will lead to reduced discretionary spending by US clients, which may affect the revenues of Indian IT players. However, some analysts believe that most negatives for IT companies have been priced in by the market. "For now, US slowdown is in the backburner," an analyst at a domestic brokerage said.

Sectoral indices ended mixed with the Nifty Realty and Nifty PSU Bank being the top gainers. The public-sector banks' index ended higher for the seventh straight session, gaining 9% in this period. Central Bank of India, Punjab & Sind Bank, and Bank of Maharashtra each ended 4-5% higher. Public-sector bank stocks have gathered steam in the last week or so after shares of private-sector banks cooled off following a sharp 11% rise last month. The rise in private-sector bank shares had taken the Nifty Bank to an all-time high of 56098.70 points on Apr. 23. The heavy buying in public-sector bank stocks is due to cheaper valuations compared to private players, analysts said.

Most defence stocks fell and the Nifty India Defence index ended over 1% lower to snap a six-session winning run. The index possibly ended lower on profit sales after having gained nearly 21% over the six sessions, analysts said. Mazagon Dock Shipbuilders, Cochin Shipyard, and Hindustan Aeronautics all ended 2-3% lower.

Data Patterns (India) had risen over 9% in early trade after the company's bottom line for the March quarter rose 60% on year and sales doubled. However, the stock gave up all gains and ended over 2% lower. Trading in shares of Zen Technologies did not resume for the entire session after it hit its 5% upper band of INR 1,884.50 at the open. The company's bottom line tripled on year for the March quarter.

Many other stocks also reacted to their quarterly earnings. Delhivery rose 15% to a five-month high after the company reported a profit for the March quarter against a loss a year ago. Its bottom line also beat analysts' estimates by a wide margin. The stock pared some of the gains but still ended over 9% higher. Divi's Laboratories ended nearly 5% higher after the company's net profit for the March quarter comfortably beat the Street's view.

CreditAccess Grameen ended 7% lower as the lender's net profit for the March quarter plunged on year as impairments on its financial assets nearly quadrupled. Vodafone Idea clawed back some ground to end 9% lower after it had plunged 12% following the Supreme Court rejecting petitions by some telecom majors, including Vodafone Idea, requesting that their adjusted gross revenue dues towards interest, penalty, and penalty on interest be waived.

* Of the Nifty 50 stocks, 19 rose and 31 fell

* Of the Sensex stocks, 12 rose and 18 fell

* On the NSE, 1,842 stocks rose, 1,074 fell, and 89 were unchanged

* On the BSE, 2,531 stocks rose, 1,565 fell, and 177 were unchanged

* Nifty Realty: up 2.3%; Nifty PSU Bank: up 1.5%; Nifty IT: down 1.3%

BSE                                               NSE

Sensex: 82059.42, down 271.17 points or 0.3%      Nifty 50: 24945.45, down 74.35 points or 0.3%

End

Edited by Rajeev Pai

For users of real-time market data terminals, Informist news is available exclusively on the NSE Cogencis WorkStation.

Cogencis news is now Informist news. This follows the acquisition of Cogencis Information Services Ltd by NSE Data & Analytics Ltd, a 100% subsidiary of the National Stock Exchange of India Ltd. As a part of the transaction, the news department of Cogencis has been sold to Informist Media Pvt Ltd.

Informist Media Tel +91 (22) 6985-4000

Send comments to feedback@informistmedia.com

© Informist Media Pvt. Ltd. 2025. All rights reserved.