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Nifty Auto Index Declines Amid Weak Market Conditions

Published 1 week ago3 minute read
Nifty Auto Index Declines Amid Weak Market Conditions

The Nifty Auto index experienced a downturn on Tuesday, May 27, 2025, reflecting a broader weakness in the stock market. The index was reported trading in negative territory throughout the morning, with its value fluctuating as the session progressed.

Around 10:55 AM (IST), the Nifty Auto index was down by 0.71 per cent, trading at 23594.9. Later in the morning, around 11:22 AM (IST), the index showed a slight recovery but remained in the red, down 0.57 per cent at 23626.9. This negative performance occurred within a generally weak market environment.

Despite the overall decline in the auto index, some stocks managed to post gains. Key gainers observed around 10:55 AM included Balkrishna Industries Ltd. (up 0.89 per cent), Bajaj Auto Ltd. (up 0.36 per cent), Bharat Forge Ltd. (up 0.17 per cent), and Exide Industries Ltd. (up 0.02 per cent). By 11:22 AM, gainers featured Balkrishna Industries Ltd. (up 0.76 per cent), Bharat Forge Ltd. (up 0.15 per cent), Maruti Suzuki India Ltd. (up 0.11 per cent), and Bajaj Auto Ltd. (up 0.11 per cent).

On the losing side, several prominent auto stocks dragged the index lower. Around 10:55 AM, top losers included Tube Investments of India Ltd. (down 1.45 per cent), Mahindra & Mahindra Ltd. (down 1.41 per cent), MRF Ltd. (down 1.0 per cent), Tata Motors Ltd. (down 0.98 per cent), and Samvardhana Motherson International Ltd. (down 0.85 per cent). Later, at 11:22 AM, the list of top losers comprised Exide Industries Ltd. (down 1.92 per cent, a notable shift from its earlier minor gain), Tube Investments of India Ltd. (down 1.55 per cent), Samvardhana Motherson International Ltd. (down 1.47 per cent), Mahindra & Mahindra Ltd. (down 0.99 per cent), and MRF Ltd. (down 0.91 per cent).

The weakness in the auto sector mirrored the performance of the broader market benchmarks. Around 10:55 AM, the NSE Nifty50 index was down 222.36 points at 24778.8, and the BSE Sensex had fallen by 801.22 points to 81375.23. By 11:22 AM, the Nifty50 was down 106.96 points at 24894.2, while the BSE Sensex was down 371.46 points at 81804.99, indicating some recovery from earlier lows but still significant declines.

Market breadth also reflected the bearish sentiment, though it showed slight improvement as the morning progressed. Among the 50 stocks in the Nifty index, 10 were trading in the green and 40 in the red earlier in the session. This later shifted to 15 stocks in the green and 35 in the red by 11:22 AM.

In terms of trading activity on the NSE, shares of Vodafone Idea, Reliance Power, Suzlon Energy, and IFCI were among the most traded stocks during this period, with YES Bank and InterGlobe also seeing high volumes at different points. Several stocks hit their fresh 52-week highs, including Apollo Micro Systems, Stampede Cap(DVR), GE T&D India, and Cosmo Films. Conversely, stocks like Godha Cabcon & Insul, Tantia Const, Shree Ram Proteins, and Protean eGov Techno touched new 52-week lows.

Market analysis often involves technical indicators. For instance, the Moving Average Convergence Divergence (MACD) is a tool known for signaling trend reversals in traded securities or indices. It is calculated as the difference between the 26-day and 12-day exponential moving averages. While not specific to the Nifty Auto's performance on this day, such indicators are commonly used by traders to assess market trends.

From Zeal News Studio(Terms and Conditions)
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