Sensex and Nifty plunged as metal, healthcare, and real estate stocks tumbled. The rupee hit an all-time low amid foreign investor selloff and US tariff concerns.
The Indian stock market experienced a significant plunge on Monday, February 10, 2025, as a selloff in real estate, healthcare, and metal stocks weighed on investor sentiment. Despite the Reserve Bank of India’s (RBI) rate cut and the Bharatiya Janata Party’s (BJP) victory in the Delhi elections, the market failed to sustain positive momentum.
Indices Tumble Amid Heavy Selling Pressure
At 12:10 PM IST, the benchmark BSE Sensex tumbled 674.97 points (0.87%), settling at 77,185.22, while the NSE Nifty slipped 210.10 points (0.89%), reaching 23,349.85. The indices had already opened lower in early trade, continuing their downward trajectory due to selling pressure from foreign investors.
Market opening data showed that at 9:20 AM IST, Sensex had already lost 302.65 points (0.39%), standing at 77,557.54, while Nifty had declined 98.80 points (0.42%), reaching 23,461.15.
Biggest Losers of the Day
Among the 30 Sensex stocks, Zomato Ltd recorded the most substantial decline, dropping 3.61% to ₹225.40. This was followed by Power Grid Corporation of India Ltd, which fell 3.49% to ₹268.60, and Tata Steel Ltd, which declined 3.47% to ₹133.50.
Other major decliners in the broader Nifty Metal Index included:
- Vedanta Ltd (-4.61%)
- Steel Authority of India Ltd (SAIL) (-4.16%)
- JSW Steel Ltd (-3.04%)
- National Aluminium Company (-2.90%)
- Jindal Steel & Power (-2.35%)
Few Gainers in a Bleeding Market
Despite the overall decline, only four out of the 30 Sensex stocks managed to stay in the green:
- Kotak Mahindra Bank Ltd (+0.56%, ₹1,947)
- Bharti Airtel Ltd (+0.28%, ₹1,682.55)
- Hindustan Unilever Ltd (+0.22%, ₹2,368.80)
- Tata Consultancy Services Ltd (+0.14%, ₹4,035)
Bharti Airtel and Hindustan Unilever were among the few stocks that managed to open in the green during early trade.
Sectoral Performance and Market Outlook
The Nifty Midsmall Healthcare Index and Nifty Realty Index witnessed the sharpest losses of the day, both falling 3.14%, while the Nifty Metal Index also plunged 2.77%.
Sector-wise breakdown:
- Metal stocks faced immense pressure following U.S. President Donald Trump’s announcement of new steel and aluminum tariffs.
- Healthcare stocks, including Poly Medicure (-4.90%), Alkem Laboratories (-4.65%), and Piramal Pharma (-2.35%), suffered heavy declines.
Rupee Plummets to a Record Low
The Indian rupee also took a hit, falling 44 paise to an all-time low of ₹87.94 per U.S. dollar in early trade. Analysts attributed this decline to growing concerns over potential U.S. trade tariffs, which led to weakness in regional currencies.
As of the latest update, the rupee was trading at ₹87.93, down 0.6% for the day, raising concerns about increased import costs, particularly for crude oil, and its impact on foreign investment sentiment.
Market Experts Weigh In
Kranthi Bathini, Director of Equity Strategy at WealthMills Securities, highlighted that foreign portfolio investors (FPIs) continue to sell their holdings, adding to the market pressure.
“After the rate cut and budget announcement, the market has failed to excite FPIs. The earnings traction has been missing in the short to medium term, causing continued selling pressure. However, as long as Nifty stays above 23,000, we expect a medium-term positive outlook,” said Bathini.
Delhi Election Results and Market Sentiment
Despite the BJP’s victory in the Delhi elections, securing 48 out of 70 seats, market volatility remained high. Analysts at Motilal Oswal Financial Services (MOFSL) believe the result should have provided political stability, but concerns over corporate earnings, global trade tensions, and foreign investor activity have overshadowed the sentiment.
MOFSL noted that the BJP’s victory, backed by Prime Minister Narendra Modi’s leadership and the party’s ‘double-engine governance’ campaign, was expected to reassure investors. However, global economic trends and foreign fund movements will continue to play a crucial role in determining market direction.
What Lies Ahead?
Investors are now looking for corporate earnings reports, company guidance, and RBI’s next move to gauge future market trends. With ongoing U.S. trade policy uncertainties and foreign investor withdrawals, volatility is likely to persist in the coming days.
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