NIFTY IT to Bank: How major sectors performed this week as NIFTY50 extends losses

After reporting the biggest weekly gain of the calendar year 2025 last week, India’s benchmark equity indices, NIFTY and SENSEX, slipped back into the red for the week ended March 13 on growing worries over the global economic slowdown.

All the major key indices declined this week as broader markets reeled under pressure., with major indices closing in the red on all four sessions of the holiday-truncated week. The stock markets will remain closed on Friday, March 14, on account of the Holi festival.

NIFTY IT

The NIFTY IT was the biggest sectoral loser of the week, down 4.5%. Analysts feared that the index has slipped into the ‘bear market territory’ as it corrected over 20% from the record high seen in December 2024.

The IT index has fallen 21.62% from its all-time high of 46,088.9 hit on December 13, 2024. NIFTY IT dropped to a nine-month low on March 13 as the US stock market crash on Monday also impacted investor sentiment in the domestic market.

The correction in IT stocks was triggered on fears that tariffs placed by US President Donald Trump on China, Mexico and Canada would push the US economy into recession. This will hamper capex plans of US companies, thereby affecting the Indian IT sector as clients would not prioritise spending on services.

The dollar index falling to a four-month-low would also adversely affect the revenue of IT firms that earn in the US greenback.

NIFTY Bank

The banking stocks took a major hit this week after IndusInd Bank Ltd slipped into a crisis. The NIFTY Bank index posted a weekly decline of 0.9% after some recovery towards the end of the week.

Earlier this week, RBI had granted only one-year extension to MD and CEO Sumant Kathpalia, cutting short the 3-year tenure that the bank had requested.

Besides IndusInd Bank, AU Small Finance Bank was the biggest loser, down 7.8%, followed by IDFC First Bank that dropped 7.7%. Punjab National Bank was also down 4.3% for the week, while Axis Bank was down 2.3%. Meanwhile, Kotak Mahindra Bank, HDFC Bank and ICICI Bank logged weekly gains in the range of 1-3%.

NIFTY Auto

The NIFTY Auto was down 2.17% for the week ended March 13. Industry body Siam said on Thursday that domestic passenger vehicle dispatches from factories to company dealers rose 1.9% year-on-year to 3,77,689 units in February. Total two-wheeler dispatches, however, witnessed a decline of 9% year-on-year to 13,84,605 units last month.

NIFTY Realty

Among other sectoral indices, NIFTY Metal was down 1.7%, NIFTY Consumer Durables fell 1.3% and NIFTY Pharma and NIFTY FMCG closed flat for the week ended March 13.