Sensex Tumbles 790 Points From Day's High: What Spooked the Market?

A promising morning on Dalal Street devolved into a rout on Tuesday, as the Indian stock market took investors on a rollercoaster ride that ended with a sharp plunge.

After a strong start, the BSE Sensex and NSE Nifty executed a sharp U-turn in the second half of the trading session on October 14, 2025. The Sensex, which traded comfortably in the green for hours, crashed a staggering 792 points from its intraday high to close at 82,029.98, down 297.07 points (0.36%). Similarly, the Nifty 50 failed to hold its ground and settled at 25,145.50, a drop of 81.85 points (0.32%).

So, what exactly triggered this sudden market reversal? Let’s unpack the key factors behind the sell-off.

The Triple Threat: Global Cues, FII Selling, and a Weak Rupee

A combination of pressures created a perfect storm, leading to a widespread sell-off that erased all early gains.

1. Weak Global Signals: While initial optimism was buoyed by stability in US markets, negative sentiment from Asian and European markets began to weigh on investor confidence as the day progressed. Renewed concerns about global economic uncertainty and trade friction spooked investors. For instance, Japan’s Nikkei 225 fell sharply. This global risk-off sentiment often has a direct impact on emerging markets like India.

2. Foreign Investors Turn Sellers: Foreign Institutional Investors (FIIs), major drivers of the Indian market, reversed their recent trend and became net sellers. After a five-day buying streak, FIIs sold equities worth ₹240.1 crore on Monday. While the amount was not substantial, this shift from buying to selling signalled caution among foreign investors and added to the market’s downward pressure.

3. The Rupee’s Tumble: The Indian Rupee weakened against the US Dollar, falling to 88.79. A depreciating rupee is a negative for the stock market as it erodes the returns for foreign investors when they convert their investments back to their home currency, often prompting them to sell their holdings.

Broad-Based Selling and Sectoral Pressure

The sell-off was not confined to a few specific stocks; it was broad-based, with most sectoral indices ending in the red. The Nifty PSU Bank index was among the hardest hit, falling over 1.5%. Other sectors, including Consumer Durables, Media, Realty, and Metal, also faced significant selling pressure. This indicates that the negative sentiment was widespread across the market.

HCL Tech’s Q2 Results: A Mixed Bag for the IT Pack

Amid the market chaos, IT giant HCL Technologies was in focus following its Q2 earnings announcement on Monday evening.

HCL Tech reported a flat consolidated net profit of ₹4,236 crore for the quarter ending September 2025, which was nearly unchanged year-on-year. However, the company’s revenue from operations grew by a healthy 11% year-on-year to ₹31,942 crore.

In a positive for shareholders, the company declared an interim dividend of ₹12 per share. Despite the flat profit, the stock initially gained as much as 3% in early trade but could not withstand the broader market pressure and pared some of its gains as the overall IT index also came under pressure.

What to Watch Next

For retail investors, such volatile days can be unsettling. Here are a few key indicators to monitor in the coming days:

• FII Activity: Keep a close watch on FII data. A return to consistent net buying would be a strong positive signal for the market.
• Global Market Trends: Monitor the performance of US and other major global markets. Any signs of stability could provide a much-needed boost to sentiment.
• Q2 Earnings Season: With the quarterly earnings season underway, the results and management commentary from other major companies will be crucial in setting the market’s direction.
• Nifty’s Key Levels: For technical analysts, the Nifty’s ability to hold its support levels will be critical. The 25,000 mark is widely seen as a key psychological support level.

Days like these are a stark reminder of the stock market’s inherent volatility. It is important for investors to remain calm, focus on their long-term goals, and avoid making impulsive decisions based on single-day market movements.

Disclaimer: This article is for informational purposes only and should not be considered investment advice. Please consult with a financial advisor before making any investment decisions.