Closing bell: Sensex dips 733 points, Nifty under 24,700; IndusInd Bank, M&M, Tata Steel shares lead losses

The Indian benchmark indices faced a bloodbath in the week’s final session, as fresh tariffs on pharmaceuticals were announced by U.S. president Donald Trump. Accenture’s weaker outlook, slower IT spending, and job cuts further dampened investor sentiment, leading to growing selling pressure. 

The Sensex was down 733.22 points, or 0.90%, at 80,426.46, while the Nifty was down 236.15 points, or 0.95%, at 24,654.70. On the Nifty50 index, only 6 advanced and 44 declined, while on the Sensex front, only 4 stocks gained as the remaining declined. 

This is not the first time Trump announced tariffs on pharmaceuticals, as back in August, he had promised to levy a 250% tax on the sector. The recent announcement imposes 100% tariffs on branded or patented drugs. 

In a Truth Social post, Trump said, “Starting October 1st, 2025, we will be imposing a 100% tariff on any branded or patented pharmaceutical product, unless a company IS BUILDING their pharmaceutical manufacturing plant in America. “IS BUILDING” will be defined as “breaking ground” and/or “under construction.” There will, therefore, be no tariff on these pharmaceutical products if construction has started. Thank you for your attention to this matter!”

In the same breath, he added 50% tariffs on kitchen cabinets and bathroom vanities, and a 25% tariff on big trucks, to protect American companies from the “onslaught of outside interruptions”.

These developments rattled investor sentiment, leading to a decline of 2.50% in both the benchmark indices this week. 

Larsen and Toubro was the top gainer on the bourses, after news reports suggested that the Telangana government agreed to buy out L&T's stake in Hyderabad Metro Phase-I. The government will pay L&T ₹2,000 crore for equity, in addition to taking over the project debt worth ₹13,000 crore. The shares rallied by 2.10%, bringing its share price to ₹3,721. Tata Motors, which rose by 2% in the early hours of trade, was the second top gainer after Jaguar Land Rover announced that its sections of its digital estate are now up and running. Currently, the scrip is up by 1.28%.

ITC took the third spot, rising by 1.22%. 

On the other hand, IndusInd Bank overtook Mahindra and Mohindra in the final minutes of trade to emerge as a top loser, declining by 3.88%. M&M share closed 3.68% lower, while Tata Steel dipped by 2.92%. 

All sectors ended in the red, with Nifty IT, Nifty Pharma, Nifty Healthcare, and Nifty Consumer Durables declining between 2% and 2.5%. Broader markets, too, were marred by bearish trends, declining by 2%. India VIX increased by 5.95%, settling at 11.43.