MUMBAI: The benchmark stock indices, Sensex and Nifty, fell nearly 1 per cent on Friday, marking their sixth consecutive day of decline. Heavy selling in pharmaceutical and IT shares followed US President Donald Trump’s announcement of 100 per cent duties on drugs starting next month.
The 30-share BSE Sensex dipped 733.22 points, or 0.90 per cent, closing at a three-week low of 80,426.46. During trading, the index dropped as much as 827.27 points, reaching 80,332.41.
The 50-share NSE Nifty also sank 236.15 points, or 0.95 per cent, closing at an over three-week low of 24,654.70. This index has experienced a decline of over 3 per cent over the past six sessions, marking a cumulative drop of 2,587.50 points, or 3.16 per cent, since September 19.
Following Trump’s tariffs announcement, most pharmaceutical shares tumbled, contributing to a 2.14 per cent decline in the BSE Healthcare index. Notably, Wockhardt shares plummeted by 9.4 per cent in reaction to the news.
On social media platform Truth Social, Trump stated, “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.” He clarified that “IS BUILDING” means companies must have started construction to avoid tariffs.
Among the companies on the Sensex, prominent laggards included Mahindra & Mahindra, Eternal, Tata Steel, and Bajaj Finance. Major declines also occurred in Asian Paints, Sun Pharma, Tech Mahindra, Infosys, Tata Consultancy Services, and HCL Tech.
Contrastingly, some firms managed gains despite the market downturn, with Larsen & Toubro, Tata Motors, ITC, and Reliance Industries showing resilience.
Analysts observed, “Indian equities ended sharply lower on Friday in a broad-based sell-off after the US announced a steep 100% tariff on imports of branded and patented pharmaceutical products effective October 1. This unexpected move rattled already fragile investor sentiment, which was still digesting the recent hike in H-1B visa fees that prompted heavy selling in IT stocks this week.”
Ponmudi R, CEO of Enrich Money, an online trading and wealth tech firm, noted, “Both IT and healthcare stocks bore the brunt of the sell-off, dragging the broader indices lower as investors rushed to reassess earnings outlooks and export growth prospects.”
In broader Asian markets, South Korea’s Kospi, Japan’s Nikkei 225 index, Shanghai’s SSE Composite index, and Hong Kong’s Hang Seng closed significantly in the red.
In contrast, equity markets in Europe maintained positive territory while US markets faced declines on Thursday.
Exchange data revealed that Foreign Institutional Investors (FIIs) sold equities worth Rs 4,995.42 crore on Thursday, contributing to market pressure.
On a related note, global oil benchmark Brent crude experienced a slight dip of 0.27 per cent to USD 69.23 a barrel.
Just a day prior, on Thursday, the Sensex lost 555.95 points, or 0.68 per cent, finishing at 81,159.68, while the Nifty decreased by 166.05 points, or 0.66 per cent, reaching 24,890.85.
