INDIA STOCKS-Indian shares slide in broad-based sell-off led by pharma, IT stocks
By Vivek Kumar M
Sept 26 (Reuters) - Indian benchmarks fell in a broad-based sell-off on Friday, led by pharma shares after U.S. President Donald Trump announced a 100% levy on branded and patented drugs, while IT stocks fell after Accenture's revenue outlook indicated sluggish demand.
The Nifty 50 .NSEI and the BSE Sensex .BSESN shed 0.47% each to 24,774.3 and 80,775.23 points, respectively, as of 10:21 a.m. IST. The indexes are on course for a sixth consecutive session of losses.
Fifteen of the 16 major sectors traded lower on the day. The pharma index .NIPHARM was the biggest loser, dropping 2.4% on uncertainty over the impact of Trump's tariffs on the sector.
The broader mid-caps .NIFMDCP100 and small-caps .NIFSMCP100 dropped 0.8% and 1.2%, respectively.
Trump on Thursday unleashed a fresh round of punishing tariffs on a broad range of imported goods, including branded and patented drugs, and heavy-duty trucks, effective October 1.
The U.S. accounts for slightly more than a third of India's pharmaceutical exports, which comprise mainly cheaper generic versions of popular drugs. Exports to the country rose 20% to about $10.5 billion in fiscal 2025.
While a majority of Indian pharma exports are generic drugs, there is still uncertainty whether complex generics and biosimilars will come under the tariff embargo in the future, said ICICI Securities.
Sun Pharmaceutical Industries SUN.NS declined 2%, and was the biggest Nifty 50 loser. Natco Pharma NATP.NS fell 3.4%, losing the most on the pharma index.
IT stocks .NIFTYIT fell 1.2% after Accenture's full-year revenue growth outlook of 2% to 5% missed estimates of 5.3%, and indicated that weak demand may continue to weigh on IT companies.
The sluggish outlook poses downside risks to consensus expectations of growth acceleration in fiscal 2027 for Indian IT firms, Jefferies said.
The IT index had lost 5.5% in the last four sessions due to uncertainty over the U.S.' H1-B visa policy.
Related Articles
An Overview of U.S. Government Shutdowns: Causes and Consequences
TradingKey - A government shutdown is a uniquely American political event. After former President Donald Trump orchestrated the longest and most costly government shutdown in history during his first term, the risk of another shutdown has resurfaced at the start of his second term.
Alibaba – the Poster child of the Chinese AI Revolution
TradingKey - In the beginning of the year, Alibaba ADR at the New York Stock Exchange was traded at $84.95. AS of September 25th, the price is already $176.44, or more than double – a remarkable rally that doubled the price within less than ten months.
Carnival’s Q3 2025 Earnings Preview: Can Strong Demand and Celebration Key Drive Valuation Higher?
TradingKey - Fueled by robust consumer demand for cruise travel, Carnival has hit all-time highs in several key metrics, including revenue, yield, and customer deposits. Its stock has performed strongly in 2025, with a year-to-date gain exceeding 20% and a nearly 70% increase over the past 12 months
U.S. August PCE Preview: Four-Run PCE Bounce Challenges the Fed’s Three-Cut Plan
TradingKey - The U.S. Bureau of Economic Analysis (BEA) will release the August Personal Consumption Expenditures (PCE) Price Index on Friday, September 26, with markets closely watching how much tariff pass-through effects have influenced inflation.
U.S. August PCE: Inflation Remains the Market's Greatest Risk
Our baseline forecast anticipates sustained asset price increases. However, if inflation surpasses market expectations in the coming months, it could hinder further rate cuts and pose the greatest risk to financial markets.
