Stock Market Update – Sensex, Nifty Close Lower for Third Straight Day Amid FII Selling, Rupee Weakness
- Septembar 24, 2025
The Indian stock market remained under pressure on Tuesday (September 23, 2025), extending its losing streak for the third consecutive session. Both the BSE Sensex live and NSE Nifty live indices closed lower after a volatile day of trade, reflecting heightened uncertainty among investors.
Selling in IT majors and blue-chip private banking stocks dragged the benchmarks down, while continued foreign institutional investor (FII) outflows and a sharp fall in the rupee added to the nervousness. Gains in autos and select public sector banks provided some cushion, but overall sentiment stayed weak.
Sensex Today – Mild Decline After a Choppy Session
The 30-share Sensex today closed lower by 57.87 points, or 0.07%, at 82,102.10. During the session, the index oscillated between a high of 82,370.38 and a low of 81,776.53 — a swing of nearly 600 points. This underlined the stock market volatility triggered by both global and domestic factors.
The broader Nifty today slipped 32.85 points, or 0.13%, to settle at 25,169.50. This marked the third straight day of losses for both benchmarks, as investors opted for caution amid mixed signals.
Key Drivers: FIIs Selling and H-1B Visa Fee Concerns
A major factor weighing on the market has been sustained foreign investor selling. According to exchange data, FIIs selling in India amounted to ₹2,910.09 crore on Monday (September 22). Persistent outflows have capped any meaningful upside for the indices, especially since large-cap IT and banking stocks remain key areas of foreign investment.
Adding to the pressure was news of a steep increase in U.S. H-1B visa fees, which raised concerns about margin pressures for Indian IT companies with heavy exposure to the U.S. market. This dragged down stocks such as Tech Mahindra and other IT heavyweights, contributing significantly to Tuesday’s decline.
Sector-Wise Performance – Autos in Focus, FMCG Sees Profit Booking
The sector-wise performance in the stock market highlighted a clear divergence across segments :-
- Autos – Strong festive demand and recent GST cuts buoyed auto stocks, with Maruti among the notable gainers. Analysts expect festive buying momentum to continue supporting the sector.
- Metals – Positive cues on infrastructure spending and exports supported metals, with select counters seeing healthy buying.
- Financials – Axis Bank and Bajaj Finance saw fresh inflows, while State Bank of India helped lift sentiment in public sector banking.
- FMCG & Realty – Both sectors came under profit-booking pressure. Hindustan Unilever and Asian Paints were among the biggest laggards, reflecting investors’ move away from defensives.
- Private Banks – Heavyweights HDFC Bank and ICICI Bank were sold off, adding to the benchmarks’ weakness.
This sectoral divergence showed how investors are selectively positioning themselves, balancing festive demand in the auto sector against global headwinds.
Rupee vs Dollar Today – Record Low Adds Pressure
The sharp depreciation in the currency was another source of worry. The rupee vs dollar today fell 52 paise to touch an all-time low of 88.82 per U.S. dollar in intra-day trade. Persistent FII outflows, a stronger greenback overseas, and rising crude oil prices have all contributed to the rupee’s weakness.
A weaker rupee typically impacts India’s import bill, raises inflationary pressures, and reduces the appeal of local assets to global investors. Analysts warn that if the currency continues to slide, it could further weigh on corporate earnings, especially for sectors dependent on imported raw materials.
Global Market Cues: Weak Asia, Stronger Europe
On the global front, the picture was mixed.
- Asian equities showed weakness, with Shanghai’s SSE Composite index and Hong Kong’s Hang Seng ending lower.
- South Korea’s Kospi, however, closed higher, supported by selective buying.
- Japan’s markets were closed for a holiday, limiting regional cues.
In Europe, equities traded higher during Indian market hours, following a positive handover from Wall Street. U.S. markets ended higher on Monday, reflecting optimism over economic resilience despite concerns about tightening immigration and trade policies.
Meanwhile, the Brent crude oil price today edged higher by 0.45% to $66.87 a barrel. While this is still relatively moderate by historical standards, higher oil prices remain a risk for India’s inflation and fiscal deficit, both of which can influence foreign investor sentiment.
Top Gainers and Losers in Sensex
Tuesday’s trade reflected stock-specific movements :-
- Top Gainers – Axis Bank, Bajaj Finance, Maruti, and State Bank of India.
- Top Losers – Trent, Tech Mahindra, Hindustan Unilever, UltraTech Cement, Asian Paints, and ITC.
This list of top gainers and losers in Sensex underlined the divergence in performance, with banking and auto names balancing the drag from IT and FMCG.
Investor Takeaway – Stay Cautious Amid Volatility
Market experts believe the recent moves reflect a consolidation phase after the indices hit record highs earlier this month. Vinod Nair, Head of Research at Geojit Investments Ltd, noted that the broader sentiment remains cautious, with small- and mid-cap stocks lagging behind.
For retail investors wondering, “Should I invest in the Indian stock market now?” the advice leans toward caution in the short term.
Exposure to autos and financials could be considered for festive demand-led growth, while investors may want to avoid aggressive positions in IT and FMCG until visibility improves.
With FIIs selling in India showing no sign of slowing and the rupee falling against the dollar, volatility is expected to remain elevated. Defensive plays, high-quality large-caps, and staggered investments could help balance risks.
FAQs
1. Why did the Sensex and Nifty fall today?
2. Which sectors performed well in today’s stock market update?
Autos and metals gained, supported by festive demand and positive infrastructure cues. Public sector banks also saw buying interest. On the other hand, FMCG, realty, IT, and select private banks dragged the indices lower.
3. Why is the rupee falling against the dollar?
The rupee is under pressure due to sustained foreign outflows, a stronger U.S. dollar globally, and rising crude oil prices. This trend has made investors cautious about the Indian stock market news.
4. Should I invest in the Indian stock market now?
Investors should be cautious in the near term due to stock market volatility. Sectors like autos and financials may benefit from festive demand, but defensive plays and staggered investments are recommended.
5. What is the stock market outlook this week?
The stock market outlook this week depends on foreign fund flows, the rupee’s performance, and global market cues. Oil prices and U.S. policy updates will also play a big role in shaping short-term trends.
Stock Market Outlook This Week
Looking forward, the stock market outlook this week will hinge on three factors :-
- Foreign fund flows – Any signs of moderation in FII selling could stabilize markets.
- Rupee trajectory – Further weakness could intensify volatility.
- Global cues – Oil price trends, U.S. policy developments, and Asian market performance will remain closely tracked.
While near-term risks dominate the narrative, analysts note that corrections can create opportunities for long-term investors to accumulate fundamentally strong companies. Patience and selectivity will be key.
Disclaimer: This stock market update has been compiled using information from various Indian news sites and global financial reports. While care has been taken to provide accurate insights, readers are advised to verify details with official stock exchanges and trusted financial news platforms before making investment decisions.
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