Real Estate Blues: Why 11 Key Indian Developers Are Down 5-38% YTD in 2025 Amid Market Headwinds

  The Indian real estate sector, often hailed as a cornerstone of economic growth, is facing a turbulent 2025. Contributing around 7% to the nation's GDP, the industry was projected to expand to $1 trillion by 2030, fueled by urbanization and infrastructure booms. Yet, halfway through the year, all 21 tracked stocks in the real estate and construction space are in the red, with year-to-date (YTD) declines ranging from a modest 5% to a staggering 38%. This sector-wide slump isn't just bad luck—it's a cocktail of escalating construction costs, a 13% drop in residential sales volumes in H1 2025 due to shifting buyer preferences and macroeconomic pressures, and affordability crunches in metros where prices have surged 21% annually. High interest rates and reduced launches have compounded the pain, leading to a 27% YoY dip in institutional investments to $1.2 billion in the first half. In this two-part deep dive, we'll unpack the first half of these laggards—11 stocks that...
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Market Wrap, Sept 22: SENSEX Dips 466 Points, NIFTY50 at 25,202 as IT Stocks Slide

The Indian stock market ended lower on Monday, September 22, 2025, driven by a sharp sell-off in IT stocks following the US announcement of a hefty annual fee on new H-1B visa petitions. The S&P BSE SENSEX closed at 82,159.97, down 466.26 points or 0.56%, while the NSE NIFTY50 index fell 124.70 points or 0.49%, settling at 25,202.35. The India VIX, a measure of market volatility, surged 6%, reflecting heightened investor caution.

IT Sector Under Pressure

The decline was primarily fueled by IT stocks, impacted by a new US executive order signed by President Donald Trump, imposing a $100,000 annual fee on H-1B visa holders. This policy is expected to significantly affect Indian IT companies reliant on professionals working in the US on H-1B visas. Notable losers included Zensar Technologies (-5.87%), Kfin Technologies (-5.21%), and Cyient (-3.88%), dragging the broader small-cap index lower.

Investor Sentiment and Global Cues

Market sentiment was further dampened by global uncertainties, including ongoing geopolitical tensions and potential tariff hikes. Foreign institutional investors (FIIs) have withdrawn ₹7,945 crore from Indian equities in September, signaling caution. However, Friday’s trading session saw FIIs purchasing shares worth ₹390.74 crore and domestic institutional investors (DIIs) acquiring equities worth ₹2,105.22 crore, providing some support to the market.

Globally, Asian markets showed mixed performance. Hong Kong’s Hang Seng fell 0.66%, while South Korea’s KOSPI rose 0.67%, Japan’s Nikkei gained 1.07%, and China’s Shanghai Composite edged up 0.22%.

UK’s Visa Policy Shift

Adding to the global narrative, reports indicate that British Prime Minister Keir Starmer is exploring the elimination of visa fees for elite foreign professionals to attract top scientists and digital talent. This move could influence global talent flows and impact IT firms’ strategies, particularly those with operations in the UK.

Market Outlook

The combination of the US H-1B visa fee hike and global uncertainties has heightened market volatility, as reflected by the VIX spike. Investors are likely to remain cautious in the near term, with focus on IT sector developments and global policy shifts. Monitoring FII and DII activity, alongside key global indices, will be crucial for gauging market direction.

Stay updated on market trends and global economic shifts to make informed investment decisions.

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