Weekly Market Wrap: NIFTY50, SENSEX decline on rising crude oil prices, geopolitical tensions; HDFC Bank leads losses

The Indian stock market ended the week on a negative note, slipping across all five trading sessions and closing lower for the week ended July 25. The decline was attributed to the rising crude oil prices, escalating global geopolitical tensions, and fresh tariffs imposed by the US on its trading partners.

The commodity market investors focused on the 13th round of US strategic attacks on Iran and US President Trump’s comments about how America is not ready to negotiate a new ceasefire deal.

The US Central Command, in an official statement on Friday, India time, said that the military forces have completed the 13th consecutive round of night attacks against strategic Iranian targets. “CENTCOM targeted Iranian military command centres, drone storage facilities, communication networks, coastal surveillance sites, and maritime capabilities to further diminish the threat Iran poses to civilian mariners and commercial vessels transiting the Strait of Hormuz,” they said in the official statement.

The Central Command also said that the international waterway remains open for transit despite recent attacks from Iran's Islamic Revolutionary Guard Corps, as commercial ships reportedly continue to freely navigate the strait with US military support.

Investor sentiment was further weighed down after the US slapped tariffs ranging from 10% to 12.5% on imports from around 60 trading partners, which together account for nearly 99% of US imports. The move came following concerns that these countries have not adequately enforced restrictions on goods produced using forced labour.

Top weekly losers

Shares of HDFC Bank tumbled over 9% in the week after the country's biggest private sector lender reported a 5% increase in standalone profit to ₹19,060 crore for the June quarter. However, the total income of the bank during the quarter under review dropped to ₹92,184 crore from ₹99,200 crore logged in the same period a year ago.

Analysts offered a mixed view on HDFC Bank's June quarter (Q1 FY27) earnings, with most retaining a positive stance on the lender's long-term growth prospects while highlighting continued pressure on net interest margins (NIMs).

The fall in IndiGo operator InterGlobe Aviation shares came after the country’s largest airline operator posted a ₹237 crore net loss due to the massive surge in jet fuel prices in the period. In comparison, IndiGo recorded a net profit of ₹2,176.3 crore in the same June quarter period a year ago. The management attributed the Q1 performance to a combination of fuel price escalation, adverse foreign exchange movement and the West Asia conflict.

The IT services major Infosys witnessed a decline and revised its FY27 revenue growth guidance to 1.5%-3.0% in constant currency (CC) terms from the earlier range of 1.5%-3.5%, while retaining its operating margin guidance at 20%-22%. 

In the midcap space, Swiggy’s shares fell after its board approved capping aggregate foreign ownership at 49.5% on a fully diluted basis, down from 100%. Experts said the move could trigger passive outflows due to weight adjustments in global indices such as MSCI and FTSE, with estimated outflows of $270–$330 million.

The smallcap stock Bandhan Bank tumbled 19% as the investors focused on the company management’s conservative guidance and margin concerns despite registering healthy growth in Q1 FY27.

Top weekly gainers

Sectoral watch this week

Among sectors, the NIFTY Private Bank index emerged as the biggest laggard, declining 4.6%, followed by NIFTY Realty, which fell 4%. NIFTY Bank and NIFTY Oil & Gas also dropped 3.1% and 2%, respectively, while the NIFTY IT index ended the week 1.6% lower.

Meanwhile, NIFTY FMCG (0.6%), NIFTY Auto (0.4%) and NIFTY Media (0.4%) were the only sectors gaining during the week.

India VIX rose 6.7% during the week, indicating a pickup in market volatility amid lingering geopolitical concerns and cautious investor sentiment.