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Investors hoping for a Monday (July 28, 2025) lift got the opposite. The Sensex and Nifty opened in the red and stayed there, extending their losing streak.
And with earnings underwhelming and macro uncertainty in the air, the big question is—how much more downside before the market finds its footing?
What’s happening in the markets
The market opened in the red, with the Sensex falling nearly 0.2 per cent to 81,308, while the Nifty slipped to 24,800.
Broader market sentiment remains cautious, with mid and small caps facing pressure and investors booking profits after the massive rally earlier this year.
Leading the drag were financials, autos and energy. Bajaj twins, Kotak Mahindra Bank and Reliance Industries were among the major culprits. Meanwhile, pharma emerged as a lone bright spot—showing resilience as other sectors wilted.
What’s spooking investors?
For one, corporate results haven’t lived up to the hype. Kotak Mahindra Bank’s earnings missed estimates, with higher provisions and lower margins sparking a sell-off in private lenders. Combine that with foreign institutional investors pulling out money and the mood quickly turns sour.
Then there’s the trade noise. Hopes of a near-term US-India trade deal have hit a wall. Talks around agricultural and dairy tariffs have reportedly stalled, which has taken the shine off India’s broader economic narrative for now.
And globally, investors are skittish. With US interest rates still elevated and China's economy continuing to sputter, risk assets across the world are treading water.
The takeaway
The market’s tone has shifted from euphoria to caution. But that’s not necessarily bad. Corrections clear the clutter and reward those who stay patient and pick their spots wisely. Keep an eye on the charts, but don’t ignore the fundamentals. This could be the breather the market needs before the next leg up.
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Markets will always move up and down. Chasing every swing only adds stress—not wealth.
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Explore Stock Advisor todayDisclaimer: This article was crafted with the aid of artificial intelligence and meticulously reviewed and edited by our human experts to ensure accuracy and provide valuable insights. It's intended for informational purposes only. We encourage you to conduct your own thorough research before making any investment decisions.
Disclaimer: This content is for information only and should not be considered investment advice or a recommendation.
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