India’s stock markets continued their downward slide for the second consecutive session on Friday, May 9, 2025, with both benchmark indices—Sensex and Nifty 50—closing sharply lower. The market turmoil came amid escalating geopolitical tensions between India and Pakistan, triggering widespread selling by cautious investors.
In this in-depth report, we break down everything you need to know about today’s stock market performance, key losers and gainers, sectoral movements, and investor behavior.
📉 Sensex and Nifty 50 Sink as Geopolitical Fears Mount
The BSE Sensex plummeted by 880 points, ending the day at 79,454.47, while the Nifty 50 dropped 266 points to settle at 24,008. Both indices registered a 1.10% decline.
This marks the second straight session of losses, driven primarily by concerns around rising India-Pakistan tensions after reports emerged that Indian Armed Forces had neutralized Pakistan’s air defense systems in Lahore in response to cross-border military activity.
💼 Midcap and Smallcap Show Resilience
Unlike the sharp declines seen in the major indices, the BSE Midcap and Smallcap indices showed relative strength. While the broader markets did fall, the decline was limited to 0.10% for midcaps and 0.30% for smallcaps. This outperformance indicated selective investor interest in non-frontline stocks despite broader market weakness.
💸 ₹2 Lakh Crore Investor Wealth Wiped Out
Investor sentiment took a hit as the total market capitalization of BSE-listed firms dipped to around ₹416.8 lakh crore, down from ₹418.5 lakh crore in the previous session. This amounts to a staggering loss of ₹1.7 lakh crore in a single trading day.
Over the course of the week, the Sensex fell by 1.30%, and the Nifty 50 dropped by 1.40%, snapping a three-week winning streak.
🧾 Top 10 Highlights from Indian Stock Market – May 9, 2025
1. Geopolitical Escalation Sparks Sell-Off
Markets began declining from Thursday, May 8, following reports of military action between India and Pakistan. The uncertainty has led to a risk-off sentiment among investors, many of whom are opting to book profits and reduce exposure ahead of the weekend.
“Domestic factors continued to weigh on Indian markets even as global indices stayed firm,” said Prashanth Tapse, Senior VP (Research) at Mehta Equities. “Traders don’t want to get caught off guard as any escalation over the weekend could result in panic selling next week.”
2. Top Nifty 50 Losers
Out of 50 stocks on the Nifty, 38 closed in the red. The biggest laggards were:
- ICICI Bank: ▼3.24%
- Power Grid Corp.: ▼2.74%
- Grasim Industries: ▼2.22%
3. Top Nifty 50 Gainers
Despite the overall sell-off, some stocks bucked the trend:
- Titan Company: ▲4.17%
- Larsen & Toubro: ▲3.84%
- Tata Motors: ▲3.83%
These gains were attributed to strong institutional buying and sector-specific tailwinds.
4. Sectoral Performance: Financials and Realty Drag
Major sectoral indices recorded mixed performance:
- Nifty Bank: ▼1.42%
- Nifty Financial Services: ▼1.84%
- Nifty Realty: ▼2.38% (worst performing sector)
- Nifty Private Bank: ▼1.29%
- Nifty PSU Bank: ▲1.59%
- Consumer Durables & Media: ▲~1% each
5. Most Active Stocks by Volume on NSE
High trading volumes were seen in:
- YES Bank: 72.80 crore shares
- Vodafone Idea: 44.70 crore shares
- GTL Infrastructure: 7.3 crore shares
These counters saw speculative interest despite the broader market correction.
6. Eight Stocks Soared Over 10%
Some stocks defied market sentiment with strong gains:
- Max India Ltd-RE
- GACM Technologies Ltd-RE
- GACM Techno Ltd-RE1
- Ideaforge Technology
- Premier Explosives
- Mayur Uniquoters
- Prakash Steelage
- Apollo Micro Systems
All these stocks surged over 10% on the NSE.
7. Two Stocks Crashed More Than 10%
On the downside, two companies faced steep corrections:
- Muthoot Microfin: ▼12.01%
- Agi Infra: ▼10.48%
The sharp drops were driven by poor earnings and bearish investor sentiment.
8. Circuit Breakers: Over 100 Stocks Locked
- Lower Circuits: 110 stocks including Keynote Financial Services, Emkay Global Financial, and TIL.
- Upper Circuits: 28 stocks including Zen Technologies, Borosil Renewables, and Ideaforge Technology.
This indicates heightened volatility and selective stock movement.
9. Advance-Decline Ratio Shows Broad Weakness
Out of total traded stocks on the NSE:
- Advances: 1,065
- Declines: 1,738
- Unchanged: 84
The ratio clearly shows sellers outnumbered buyers, a sign of a weak market.
10. Nearly 200 Stocks Hit 52-Week Lows
As many as 190 stocks touched their 52-week lows including:
- ACC
- Jindal Saw
- Schneider Electric Infra
- Galaxy Surfactants
- Central Bank of India
- Vedant Fashions
- Ramkrishna Forgings
Meanwhile, 52 stocks like K.P.R. Mill and Redington achieved their 52-week highs, showing that while overall sentiment is negative, a few counters are still in favor.
📊 Conclusion: What’s Next for Investors?
The Indian stock market is facing a critical test. With geopolitical tensions on the rise and volatility spiking, investors are advised to stay cautious, avoid aggressive short-term bets, and wait for clarity on the situation between India and Pakistan. Institutional investors are expected to closely monitor global cues and defense-related news over the weekend.
While large-cap indices took a beating, the outperformance of midcaps and selective buying in PSU banks and defense stocks could signal some sectoral opportunities for the informed investor.
🔍 Stay Updated:
Keep a close eye on geopolitical developments and market trends before making any major portfolio moves. With markets reacting swiftly to news, staying informed is more crucial than ever.