Hindustan Unilever shares dropped 7% on July 28 following its first-quarter results, while TCS rose 4%. The overall market remained flat as gains in IT stocks were offset by weakness in FMCG and energy sectors.
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Indian stock markets ended a range-bound session nearly flat on July 28, with the Sensex closing at 76,765.92 and the Nifty at 23,985.35. While the broader indices showed little movement, the session was marked by sharp divergence in stock performance, particularly within the fast-moving consumer goods and information technology sectors.
Hindustan Unilever faced significant selling pressure, with shares falling 7% after the company released its financial results for the first quarter. For investors, the reaction highlights how the market is closely evaluating earnings performance in a period of high volatility. The decline in HUL’s share price weighed heavily on the Nifty FMCG index, which ended the day in the red.
In contrast, the information technology sector provided a strong boost to the market. TCS stood out as a top performer, with shares gaining 4.466%. Other major IT companies also saw buying interest, with Tech Mahindra rising 3.82%, helping the Nifty IT index climb 3.2%.
Sectoral trends remained mixed throughout the trading day. While the Nifty Realty and Nifty Auto indices joined the IT sector in positive territory, these gains were countered by losses in the energy, metal, and banking segments. The Nifty Energy index was the day's laggard, declining 1.7%.
The Indian rupee closed nearly flat at 95.86 against the US dollar, showing little reaction to the equity market's movements. Smaller-cap stocks saw a muted response as well, with the Nifty Midcap 100 gaining 0.1% while the Nifty Smallcap 100 fell 0.2%.
Investors looking ahead will focus on how FMCG companies navigate demand trends and whether the current momentum in the IT sector can be sustained. Market movements in the coming sessions may depend on whether the Nifty can clear its immediate resistance zone or if it continues to trade within its current range.