FIIs record highest sell-off since August 29 at Rs 5,688 crore, while DIIs net buy Rs 5,843 crore worth of Indian equities

Reflecting on the market performance today, Vinod Nair, Head of Research, Geojit Investments Ltd said, "Indian equities closed the week on a subdued note, with broad-based sectoral declines. The IT index came under early pressure amid concerns over rising H-1B visa costs, compounded by Accenture’s subdued outlook. Sentiment weakened further as fresh US tariffs on pharmaceutical products led to a sharp sell-off in pharma counters. Mid- and small-cap stocks corrected more sharply than large caps, reflecting stress from their stretched valuations."

The pressure on Indian rupee is further building with rising dollar demand that is linked to gold imports. This, alongside concerns of the US visa fee hike effects. Experts suggest that this weakness is likely to persist with the latest announcement of tariffs on Pharma.

He adds that investor attention is now directed towards upcoming US economic indicators, particularly inflation and employment data. On the domestic front, the RBI’s policy decision and industrial production figures will play a pivotal role in guiding sentiment. Sectoral fundamentals across banking, FMCG, and automobiles remain constructive, supported by domestic policy tailwinds and macroeconomic stability. However, the sustainability of current market valuations hinges on a visible recovery in corporate earnings and resolution of India-US trade frictions

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