Nifty Closes Above 25,000 for First Time in 3 Weeks; IT Stocks Drag (11 September)

The Indian stock market stretched its winning streak to a seventh straight day on Thursday, September 11, 2025, with the Nifty 50 managing to close above the crucial 25,000 mark. However, the session was anything but a smooth ride. The market was marked by significant volatility as profit-taking in the heavyweight IT sector and a record-low rupee capped the day's gains.

This market wrap breaks down the day's highlights, the factors driving the volatility, and what investors should be watching now.

Table of Contents

1. How Did the Stock Market Perform Today?
2. What Caused Today's Market Volatility?
3. Which Sectors and Stocks Were in the Spotlight?
4. What Other Key News Influenced the Market?
5. A Look at the Ongoing IPO Frenzy
6. What's Happening in the Global Markets?
7. Frequently Asked Questions (FAQs)

How Did the Stock Market Perform Today?

Despite the choppy session, the benchmark indices ended the day with modest gains, continuing their upward momentum.

• The S&P BSE Sensex closed at 81,548.73, up by 123.58 points (0.15%).

• The NSE Nifty 50 rose by 32.40 points (0.13%) to close at 25,005.50, its first close above this psychological level in nearly three weeks.

What Caused Today's Market Volatility?

The market was pulled in opposite directions by several conflicting factors:

1. Positive Domestic Cues: The market's resilience was supported by continued optimism around domestic reforms and renewed hopes of productive India-US trade talks.

2. Profit-Taking in IT Stocks: The IT sector, which had been the star performer in the previous session, faced significant profit-booking. This selling pressure in a heavyweight sector was the primary drag on the market's gains.

3. Record-Low Rupee: The Indian rupee weakened to a fresh record low of 88.44 against the US dollar, which often creates caution among foreign investors.

Which Sectors and Stocks Were in the Spotlight?

The sectoral performance was mixed, with no single industry showing clear, decisive leadership.

• Top Gaining Sectors: The Nifty Oil & Gas and Nifty Media indices were the top performers, each gaining over 1%. The Nifty PSU Bank index also rose by nearly 1% on reports of government consolidation plans.

• Top Losing Sectors: The Nifty IT index was the biggest laggard, falling by 0.5% as investors took profits off the table. The Nifty Auto index also declined by 0.3%.

Top Gaining and Losing Stocks on Nifty 50:

What Other Key News Influenced the Market?

• Infosys Buyback Update: Ahead of its board meeting to consider a share buyback, Infosys stock saw profit-taking and was among the top Nifty losers, falling by 1.38%.

• PSU Bank Consolidation Buzz: Shares of Public Sector Banks (PSBs) rallied for a second day as reports resurfaced that the government is revisiting its consolidation plans to create larger, globally competitive banking institutions.

A Look at the Ongoing IPO Frenzy

The primary market remained active, with several IPOs continuing to draw strong investor interest on their second day of bidding.

• Dev Accelerator IPO: This issue was subscribed 15.80 times by the end of the second day, showing strong demand.

• Urban Company IPO: Continued to see robust subscription numbers from retail and institutional investors.

What's Happening in the Global Markets?

Global markets provided a largely favourable backdrop, with most Asian and European indices trading higher. Investor focus is now squarely on the upcoming U.S. Consumer Price Index (CPI) data. This inflation report is seen as a critical piece of information that will influence the Federal Reserve's decision on interest rates at its upcoming policy meeting.

Frequently Asked Questions (FAQs)

Q1: What was the most significant market event today?
A1: The biggest highlight was the Nifty 50 successfully reclaiming and closing above the important psychological milestone of 25,000, extending its winning streak to a seventh consecutive day.

Q2: Why did the market give up some of its gains?
A2: The market's advance was capped primarily by profit-taking in the IT sector, which had rallied sharply in the previous session. Concerns over the rupee hitting a new record low also contributed to the cautious sentiment.

Q3: Why did IT stocks fall after being top gainers yesterday?
A3: The decline in IT stocks like Infosys and Wipro was a classic case of profit-booking. After a strong rally driven by the Infosys buyback news, many investors chose to sell and lock in their gains.

Q4: What is causing the Indian rupee to weaken?
A4: The rupee's fall to a new record low of 88.44 per dollar is being driven by a combination of a stronger US dollar globally and mixed fund flows from foreign institutional investors (FIIs).

Q5: Which sectors performed well today?
A5: The Oil & Gas, Media, and PSU Bank sectors were the top performers. PSU banks rallied on renewed hopes of government-led consolidation in the sector.