Evening Market Recap: Sensex Slips 174 pts, Inflation Hits 8-Year Low, and Tata Capital Lists Flat | 13 October 2025
GAINIPO Market Recap — Monday, 13 October 2025
Indian equities witnessed a negative start to the week, dragged down by weak global cues, sectoral pressure in metals, and muted investor sentiment. Meanwhile, inflation data brought relief, hitting its lowest level in eight years.
#1 — Sensex Falls 174 Points; Nifty Below 25,250 as Global Tensions Weigh
Category: Markets
Key Highlights
- Sensex closed 174 points lower, while Nifty slipped below 25,250.
- Broader market showed mild weakness; midcaps and smallcaps traded flat.
- Selling pressure persisted in metal and auto stocks, while IT and pharma saw selective buying.
- Global trade tensions between the U.S. and China dampened sentiment.
Detailed Report
Markets opened weak following global selloffs triggered by U.S.–China tariff escalations. The Sensex ended 174 points down and the Nifty settled below 25,250, extending Friday’s correction.
According to Economic Times, global investors turned risk-averse as U.S. President Trump’s tariff stance continued to spook markets.
Heavyweights like Tata Steel, JSW Steel, and Mahindra & Mahindra saw notable declines, while Infosys and Cipla offered some support.
Expert View
“Global trade uncertainty is driving near-term weakness, but lower inflation could offer support ahead of RBI’s review,” — market strategists.
#2 — India’s Retail Inflation Eases to 1.54%, Lowest in 8 Years
Category: Economy
Key Highlights
- India’s CPI inflation dropped to 1.54 % in September 2025, the lowest since 2017.
- The fall was led by a sharp decline in food and fuel prices.
- Data raises expectations for an RBI rate cut in the next policy review.
Detailed Report
As per Reuters, India’s headline retail inflation eased to 1.54 % in September — far below the Reserve Bank of India’s 2–6 % comfort band.
Lower vegetable and fuel prices contributed to the sharp drop. Economists believe the moderation could prompt the RBI to consider a 25–50 basis-point policy rate cut to support growth, especially amid global trade pressures.
This marks the eighth consecutive month of easing inflation, reflecting improved supply conditions and base effects. However, analysts warned that food prices could rebound ahead of the festive season.
Expert View
“The CPI print gives the RBI significant room to act — a rate cut in December now looks likely,” — economists quoted by Reuters.
#3 — Tata Capital Lists Flat; Canara Robeco IPO Fully Subscribed
Category: IPO / Markets
Key Highlights
- Tata Capital IPO listed with a 1 % premium, closing flat on debut.
- Canara Robeco Asset Management IPO fully subscribed by end of day.
- Investors showed selective appetite for large financial-sector IPOs.
Detailed Report
According to Reuters and India Today, Tata Capital opened at ₹330 — about 1 % above issue price — before settling flat, reflecting cautious investor sentiment.
Meanwhile, Canara Robeco AMC’s IPO witnessed robust participation, getting fully subscribed on the final day, led by institutional investors. (Reuters)
Analysts noted that while investors remain bullish on quality financial plays, valuations are now stretched, and upcoming earnings reports will influence post-listing performance.
Expert View
“Muted listing gains suggest IPO appetite is cooling off after an intense run,” — analysts said.
#4 — Small Steelmakers Cut Output as Prices Slide
Category: Business / Commodities
Key Highlights
- Small steel producers in India are reducing output amid weak demand.
- Falling construction activity and price corrections hit profitability.
- Steel prices declined nearly 6–7 % month-on-month in September.
Detailed Report
Per Reuters, several small and mid-sized steelmakers have curbed production as domestic demand wanes.
Weaker infrastructure orders, rising raw material costs, and cheaper Chinese imports have pressured margins. Industry bodies warned that continued weakness could lead to temporary plant shutdowns in certain clusters.
While larger steel firms remain better hedged, the trend highlights emerging softness in India’s core industrial sectors.
Expert View
“Steel margins are getting squeezed — unless demand revives, smaller units could face closure risks,” — industry experts said.
#5 — India–US Trade Talks This Week Amid Tariff Uncertainty
Category: Global / Policy
Key Highlights
- India and the U.S. to restart trade negotiations this week.
- Focus areas: energy imports, market access, and tariff reduction.
- Talks come amid heightened global trade volatility.
Detailed Report
According to Reuters, New Delhi and Washington will resume high-level trade discussions this week after a long gap.
The agenda includes increasing Indian energy imports from the U.S., reducing trade barriers, and addressing tariff imbalances exacerbated by recent U.S. protectionist measures.
Analysts say constructive talks could provide market relief and encourage renewed FII inflows into India if positive announcements follow.
Expert View
“India’s proactive diplomacy can offset some external risks; positive trade outcomes may bolster rupee stability,” — economists said.
Summary Takeaway
- Sensex slipped 174 pts, tracking global trade jitters and metal-sector weakness.
- Inflation cooled to 1.54 %, sparking hopes for an RBI rate cut.
- Tata Capital’s IPO debut was flat, while Canara Robeco’s issue saw full subscription.
- Small steelmakers are cutting production amid weak demand.
- India–U.S. trade talks this week could shape investor sentiment globally.
Investors should stay cautious yet optimistic, watching inflation trends, RBI policy cues, and international trade developments for cues on market direction.