At the close of trade, the BSE Sensex settled at 82,186.81, slipping 13.53 points or 0.02%, while the NSE Nifty50 fell 29.8 points, or 0.12%, to end the session at 25,060.90. The broader market also witnessed weakness with the Nifty Midcap 100 declining 0.61% and the Nifty Smallcap 100 down 0.34%, reflecting profit booking in non-index stocks.
The Indian equity markets ended flat on Monday, July 22, amid stock-specific activity and cautious investor sentiment surrounding the ongoing Q1FY26 earnings season. Despite early strength, both the benchmark indices gave up their gains by the closing bell as investors digested mixed corporate results and awaited further economic cues.
At the close of trade, the BSE Sensex settled at 82,186.81, slipping 13.53 points or 0.02%, while the NSE Nifty50 fell 29.8 points, or 0.12%, to end the session at 25,060.90. The broader market also witnessed weakness with the Nifty Midcap 100 declining 0.61% and the Nifty Smallcap 100 down 0.34%, reflecting profit booking in non-index stocks.
Earnings Drive Stock-Specific Movements
Investors largely focused on company-specific earnings announcements for the quarter ended June 2025 (Q1FY26). While some major names beat expectations, others failed to impress, leading to sharp stock movements.
Among the top Nifty50 gainers, Zomato, HDFC Life, Hindalco, Titan, and Bharat Electronics (BEL) posted strong gains driven by either robust earnings or positive guidance. On the flip side, Shriram Finance, Eicher Motors, Jio Financial Services, Adani Ports, and Bajaj Auto were among the top losers, with investor sentiment dampened by below-par results or cautious management commentary.
Sectoral Performance
Most sectors ended in the red, reflecting cautious trading ahead of key global and domestic macroeconomic indicators.
Nifty Media plunged the most, down 2.2%, amid profit-taking in heavyweight counters.
Nifty PSU Bank dropped 1.57%, extending recent losses on valuation concerns.
Nifty Pharma and Nifty Realty declined around 1% each, showing weakness across defensive and interest rate-sensitive segments.
On the other hand, select FMCG and Auto stocks remained resilient, supported by expectations of rural demand revival and festive season buildup.
Global and Domestic Factors at Play
Markets also remained cautious amid mixed global cues. Asian markets traded narrowly as investors awaited cues from central bank decisions later this week, including from the US Federal Reserve and the European Central Bank. Domestically, investors are closely monitoring the monsoon’s progress, crude oil prices, and potential triggers from the upcoming July F&O expiry session.
Additionally, foreign institutional investors (FIIs) have turned selective, leading to inconsistent flows, while domestic institutional investors (DIIs) have continued supporting the market during dips.
Volatility Drops
The India VIX, which indicates near-term market volatility, fell 4.04% to settle at 10.75, suggesting a relatively stable outlook among traders for the near term. However, low volatility could also indicate potential for sharp moves as large-cap results roll in.
With heavyweight earnings such as Reliance Industries, Axis Bank, and Maruti Suzuki scheduled for the week, volatility may return in the coming sessions. Traders are advised to remain stock-specific and adopt a cautious approach until clearer directional cues emerge from both domestic earnings and global central bank policy outcomes.
