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Indian Stock Markets End Six-Day Winning Streak as Sensex Dips Amid Profit-Taking and Foreign Outflows

October 24, 2025
in Business
Reading Time: 3 min

Indian benchmark equity indices, Sensex and Nifty, witnessed a dip on Friday, October 24, 2025, halting a six-day rally that had seen significant gains. The downturn was primarily attributed to investors engaging in profit-taking activities, particularly across FMCG and banking sectors, coupled with fresh outflows of foreign funds.

The 30-share BSE Sensex, which had enjoyed a robust winning streak, closed 344.52 points, or 0.41%, lower at 84,211.88. Throughout the trading day, the index experienced a more substantial drop, falling by 599.25 points, or 0.70%, to an intraday low of 83,957.15.

Similarly, the broader 50-share NSE Nifty recorded a decline of 96.25 points, or 0.37%, settling at 25,795.15. A majority of its constituents, specifically 34 out of 50, ended the session in the red, while only 16 managed to post gains.

This profit-taking trend emerged after both key indices had collectively surged by approximately 3% over the preceding six sessions, driven by strong festive demand and a continuous inflow of foreign funds. Both the Sensex and Nifty had even reached their 52-week highs just the day before.

Market sentiment was further influenced by comments from Commerce and Industry Minister Piyush Goyal, who stated on Friday that India would not rush into trade agreements under pressure. He remarked, "We are in active dialogue with the EU. We are talking to the U.S., but we do not do deals in a hurry and we do not do deals with deadlines or with a gun to our head." Mr. Goyal made these statements during the Berlin Dialogue in Germany, where he was participating.

Among the Sensex-listed companies, Hindustan Unilever saw the steepest decline, falling by 3.20%. Other significant laggards included UltraTech Cement, Kotak Mahindra Bank, Adani Ports, Titan, HDFC Bank, and Axis Bank.

Conversely, a few stocks managed to defy the downward trend, with Bharti Airtel, ICICI Bank, Bharat Electronics, and Sun Pharma closing with gains.

Ponmudi R, CEO of Enrich Money, an online trading and wealth tech firm, commented on the market’s performance, stating, "Equity markets ended the week on a subdued note after Commerce Minister Piyush Goyal’s remarks that India will not rush into trade agreements with restrictive conditions dampened hopes of an early India–US trade deal, leading to profit-booking across sectors following a strong rally earlier in the week."

Across Asian markets, a more positive trend was observed, with South Korea’s Kospi, Japan’s Nikkei 225 index, Shanghai’s SSE Composite index, and Hong Kong’s Hang Seng all closing higher. European markets, however, displayed mixed performance, while U.S. markets had ended in positive territory on Thursday.

Exchange data indicated that Foreign Institutional Investors (FIIs) were net sellers on Thursday, offloading equities worth ₹1,165.94 crore. In contrast, Domestic Institutional Investors (DIIs) showed strong buying activity, purchasing equities worth ₹3,893.73 crore on a net basis during the previous trading session.

Siddhartha Khemka, Head of Research, Wealth Management, Motilal Oswal Financial Services Ltd, noted, "Nifty ended lower by 96 points to close at 25,795, snapping a 6-day run-up. Markets were pressured by U.S. sanctions on Russian oil companies and profit-taking by investors." In the global commodities market, benchmark Brent crude oil saw a slight dip of 0.24%, trading at $65.83 a barrel.

Prior to Friday’s decline, Thursday’s session had marked the sixth consecutive day of gains, with the Sensex rising 130.06 points (0.15%) to 84,556.40, and the Nifty gaining 22.80 points (0.09%) to 25,891.40.

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