Nifty 50 Top Gainers and Losers Today, July 28: TCS, Tech Mahindra, Nestlé India Gain; HUL, BEL, Coal India Decline

Indian benchmark indices ended Tuesday's session marginally lower as strength in information technology stocks was offset by weakness in FMCG, PSU and select financial counters. The Nifty 50 slipped 0.04% to close at 23,987, while the BSE Sensex ended 0.07% lower at 76,779.

The broader market was mixed, with investors continuing to react to June-quarter earnings while awaiting the US Federal Reserve's policy decision later this week. Global cues also remained cautious after weakness across Asian markets, where technology shares came under pressure following a sharp sell-off in South Korea's heavyweight chipmakers.

Technology stocks remained in focus, with the Nifty IT index emerging as the day's best-performing sector, gaining more than 3%. The move followed another round of encouraging June-quarter earnings that eased concerns over a further slowdown in discretionary technology spending.

The sector received another boost after Coforge reported stronger-than-expected quarterly numbers and maintained a healthy outlook. Along with resilient updates from companies such as Mphasis and Happiest Minds, the latest earnings have strengthened expectations that earnings estimates for the sector could improve if demand remains stable through the rest of the financial year.

Against this backdrop, Tata Consultancy Services (TCS), Tech Mahindra and Infosys led the gains on the benchmark. Investors also positioned themselves ahead of the US Federal Reserve's policy announcement and earnings from major US technology companies, both of which are expected to provide fresh cues on technology spending and AI-related investments.

Outside the IT space, buying remained stock-specific. Eternal extended its rally after its June-quarter earnings, while Titan Company gained amid favourable market conditions and continued interest in large-cap discretionary stocks. Nestlé India bucked the weakness in the broader FMCG index as investors accumulated select defensive names following the recent correction.

Hindustan Unilever (HUL) was the biggest drag on the benchmark after its June-quarter earnings failed to meet market expectations. Slower volume growth and pressure on margins prompted selling in the stock, pulling the Nifty FMCG index lower despite gains in Nestlé India.

Selling was also visible across PSU counters. Bharat Electronics (BEL) witnessed profit booking ahead of its quarterly earnings, while Coal India and NTPC declined as investors trimmed positions in the PSU space after the recent rally. Tata Consumer Products remained under pressure following its earnings announcement, while Dr Reddy's Laboratories slipped as investors rotated towards sectors that delivered stronger earnings momentum during the quarter.

Midcap and Smallcap Movers

The broader market ended on a mixed note, with technology stocks continuing to dominate buying interest.

Within the Nifty Midcap 100, Coforge surged after reporting a stronger-than-expected June-quarter performance and maintaining a positive business outlook. The results also lifted sentiment across the IT pack, helping Mphasis extend gains. Swiggy featured among the day's top gainers on stock-specific buying.

In the Nifty Smallcap 100, Affle 3i rallied sharply after its quarterly update, while City Union Bank and Five-Star Business Finance gained on buying in select financial stocks.

On the losing side, Exide Industries, Supreme Industries and Bank of India were among the biggest midcap laggards. In the smallcap segment, Data Patterns (India), Tata Chemicals and Meesho declined amid stock-specific profit booking.

What Investors Should Watch

The focus now shifts to the US Federal Reserve's policy decision and commentary from Chair Jerome Powell, which could influence expectations around interest rates and global technology spending. Investors will also watch earnings from major US technology companies for updates on AI-related capital expenditure, while the domestic June-quarter earnings season is expected to continue driving stock-specific action in the coming sessions.

Also Read - US Fed Meeting Begins Today: Rate Decision Due July 29; Interest Rates Expected To Remain Unchanged