Markets Struggle for Direction: Nifty Dips Below 25,100, Eternal Gains 11%

Sensex Ends Flat, Nifty Below 25,100; Auto, Banking Stocks Drag.

Benchmark indices erased early gains to close marginally lower on Tuesday amid broad-based selling in banking, auto, and media stocks. The S&P BSE Sensex slipped 13.53 points to settle at 82,186.81, while the NSE Nifty50 fell 29.80 points to end at 25,060.90.

Market sentiment remained cautious ahead of the August 1 U.S. trade agreement deadline and the next wave of Q1 corporate earnings.

“Momentum seen on Friday and Monday tapered as investors turned their focus to earnings and global trade cues. Upside surprises in Q1 results will be key to sustaining current valuations,” said Vinod Nair, Head of Research at Geojit Financial Services.

Top Gainers and Losers
Eternal emerged as the top gainer on the Sensex, surging 10.56%. Other notable gainers included Titan Company (+1.08%), Bharat Electronics (+0.72%), Maruti Suzuki (+0.66%), and Hindustan Unilever (+0.65%).

On the flip side, Tata Motors led the losses with a 2.04% fall, followed by Adani Ports (-1.93%), SBI (-1.12%), Reliance Industries (-1.08%), and Larsen & Toubro (-1.07%).

Broader Markets and Sectoral Trends
The broader market remained under pressure, with the Nifty Midcap 100 down 0.61% and the Nifty Smallcap 100 slipping 0.34%. Volatility index India VIX declined 4.01%, indicating muted near-term uncertainty.

Among sectors, Nifty Pharma bucked the trend with a 1% gain, while Nifty Metal edged up 0.23%. However, most indices closed in the red. Nifty Media tumbled 2.27%, PSU Bank dropped 1.57%, and Realty fell 1.01%. Auto, Healthcare, IT, Oil & Gas, FMCG, and Financial Services also recorded moderate declines.

“Continued FII profit booking is weighing on sentiment. However, steady DII inflows and optimism around upcoming earnings may help the market remain range-bound with a slight positive bias,” Nair added.