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Indian Stock Market Daily Performance: February 10, 2025
The Indian stock market witnessed another day of volatility on February 10, 2025, as global trade tensions and domestic sectoral pressures weighed heavily on investor sentiment. Here’s a detailed breakdown of the day’s key developments:
Market Indices Take a Hit
Benchmark indices extended their losing streak for the fourth consecutive session. The BSE Sensex slumped 548 points (0.7%) to close at 77,311.80, while the Nifty 50 declined 178 points (0.76%) to settle at 23,381.60. The broader markets faced sharper declines, with mid- and small-cap indices underperforming, reflecting heightened risk aversion among investors.
What Drove the Downturn?
- Global Trade Tensions: U.S. President Donald Trump’s announcement of a 25% import tax on steel and aluminum reignited fears of a global trade war, triggering a sell-off in metal stocks and export-driven sectors.
- Sector-Wide Weakness: All sectors closed in the red, with realty, metals, and consumer durables bearing the brunt of the selling pressure. Tata Steel and Power Grid Corporation were among the top Nifty losers, shedding over 3% each.
- Rupee Volatility: The Indian rupee fluctuated between 87.48 and 87.50 against the USD, impacted by tariff-related uncertainties and foreign capital outflows.
Safe-Haven Assets Shine
Amid the market turmoil, gold prices surged to fresh highs. Domestic gold futures hit ₹85,680 per 10 grams, while international prices breached the $2,900/ounce mark. Analysts linked this rally to investors shifting to safer assets amid geopolitical risks.
Stock-Specific Moves
- Paytm partnered with Agoda to integrate hotel bookings on its app, but its shares fell 4.59% amid broader market weakness.
- Juniper Green Energy secured $1 billion in phased debt financing for renewable energy projects, signaling growth in the green energy sector.
- Redington Ltd announced a $533 million investment plan in Saudi Arabia, boosting its stock by 3.44%.
- Glenmark Pharmaceuticals gained traction after securing UK approval for its novel acne treatment, Winlevi, though shares dipped slightly due to market-wide selling.
Broader Market Sentiment
- Declining Stocks Outnumbered Gainers: Only 626 stocks advanced on the NSE, while 2,258 declined, highlighting the day’s bearish undertone.
- Global Ripple Effects: The U.S. tariff announcement and concerns over a prolonged trade conflict kept global markets on edge, with Indian equities mirroring the cautious trend.
Looking Ahead
While short-term volatility is expected to persist, sectors like renewable energy, pharmaceuticals, and consumer goods may see renewed interest as investors assess long-term opportunities. Market participants will also monitor upcoming corporate earnings and the RBI’s monetary policy stance for directional cues.
Key Takeaways for Investors
- Sector Rotation: Metal and realty stocks remain vulnerable to global trade policies, while defensive sectors like FMCG and healthcare could stabilize portfolios.
- Gold’s Rally: The precious metal’s upward trajectory underscores its role as a hedge against uncertainty.
- Renewable Energy Momentum: Juniper Green Energy’s funding highlights growing investor confidence in India’s green transition.
Note: This analysis is based on publicly available data and market trends as of February 10, 2025. Investors are advised to conduct independent research or consult financial advisors before making decisions.
