After opening the day lower, the benchmark indices continued their downward momentum, ended the session in the red.

Indian equity markets indices, Sensex and Nifty, closed lower, amid stock-specific action as investors reacted to June quarter results of Infosys, Dr Reddy's Labs, IEX, Coforge, and Tata Consumer Product,s among others.

At the closing bell, the BSE Sensex closed lower by 542 points (down 0.6%).

Meanwhile, the NSE Nifty closed 158 points lower (down 0.6%)

Tata Motors, Eternal, and Tata Steel among the top gainers today

Trent, Tech Mahindra, and Reliance Industries, on the other hand, were among the top losers today.

The GIFT Nifty was trading at  25,09,0, lower by 158 points at the time of writing.

The BSE MidCap index ended 0.4% lower, and the BSE SmallCap index ended 0.5% lower.

Sectoral indices are trading mixed today, with stocks in the media sector and the IT sector witnessing selling pressure. Meanwhile, stocks in the metal sector and the auto sector witnessed buying.

The rupee is trading at Rs 86.3 against the US$.

Gold prices for the latest contract on MCX are trading 0.8% lower at Rs 98.590 per 10 grams.

Meanwhile, silver prices were trading 0.3% lower at Rs 1,15,222 per 1 kg.

Here are four reasons why Indian share markets are falling:

#1 Unimpressive Q1 earnings

India's Q1 results have been mixed, and experts say earnings growth is crucial for the market's sustainability. With slowing GDP growth and low inflation, corporate earnings may struggle, delaying a strong consumption recovery.

#2 Elusive India-US trade deal

Disagreements over tariffs and market access are causing delays in the India-US trade agreement, which is making investors wary. Despite continuing talks, there is no certainty that a deal will be reached; the risks include retaliatory tariffs and a decline in export competitiveness.

#3 Foreign capital outflow

Due to high market valuations, foreign investors are selling Indian stocks in July for Rs 263.9 billion (bn). Other markets with comparatively lower valuations are preferred by them. The sentiment of the domestic market is being impacted by this outflow.

#4 Market lacks fresh triggers

India's stock market is struggling to maintain momentum due to a lack of new catalysts and investors booking profits, despite a positive medium-to-long-term outlook. The market is currently driven by news on tariffs and individual stock performances, hindering a broad-based rally.
 

Force Motors Soars on Strong Van Demand

In the news from auto sector, Force Motors' shares surged by more than 15% following a 52% increase in net profit to Rs 1.7 bn in Q1 due to robust sales and a 22% increase in revenue to Rs 22.9 bn.

MD of Force Motors attributed the expansion to enhancing efficiency and satisfying customer expectations. Strong demand for models like the Urbania, Traveller, and Trax drove a 26% increase in domestic sales, which now account for over 90% of total sales.

Also, it mentioned encouraging domestic market data to voice optimism about future growth. To improve its position in the market, the company intends to make investments in reliability, innovation, and dealer network expansion.

The automaker also stated that it has no debt on file, demonstrating sound financial management. In March of this year, the company also secured an order for defence vehicles.

In addition to being a contract manufacturer of Mercedes-Benz and BMW engines in India, the company also uses some of its vehicles as ambulances and school buses.
 

Aditya Birla Real Estate Announces Q1 Result

Moving on to the news from real estate sector, Aditya Birla Real Estate (ABREL) posted its Q1 FY26 result.

In the first quarter of FY26, the company's total revenue dropped 56.9% to Rs 157.41 crore from Rs 365.24 crore in the April-June quarter of FY25.

ABREL recorded a profit of Rs 0.2 bn bn from discontinued operations during the quarter but reported a loss of Rs 0.5 bn from continued operations.

For the first quarter of the current fiscal year (Q1 FY26), Aditya Birla Real Estate Limited (ABREL) announced a net loss of Rs 0.3 bn.

According to the company's regulatory filing, this represents a significant reversal from the Rs 0.2 bn profit it made during the same period last fiscal year.

As part of its ongoing business restructuring, the company recently sold its pulp and paper division, which was formerly known as the Century Pulp and Paper division.

ABREL, formerly Century Textiles and Industries Limited, has also disclosed plans to use secured or unsecured rupee term loans to raise up to Rs 150 bn.

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