Benchmark stock market indices in India closed higher on Tuesday, continuing their positive momentum for the sixth consecutive session. The market remained resilient despite negative global cues, including the fallout from the Wall Street crash, which failed to influence Dalal Street.
The S&P BSE Sensex gained 187.09 points, closing at 79,595.59, while the NSE Nifty50 added 41.70 points, settling at 24,167.25.
Vinod Nair, Head of Research at Geojit Investments Limited, highlighted that despite global concerns related to tensions between Trump and the Federal Reserve, the Indian market maintained its optimism. He noted that the Reserve Bank of India’s (RBI) relaxed liquidity coverage ratio guidelines, expected to boost credit growth, provided a boost to the finance sector. Additionally, consistent foreign inflows, aided by a weakening dollar and competitive valuations, helped sustain the positive market sentiment.
ITC emerged as the top performer on the BSE Sensex, surging 2.58%, followed by Hindustan Unilever, which gained 2.09%. Mahindra & Mahindra showed strong momentum, advancing 1.89%, while HDFC Bank added 1.78%. Eternal rounded out the top five gainers with a 1.41% rise.
On the downside, IndusInd Bank suffered the steepest decline, plummeting 4.88%, followed by Power Grid Corporation, which fell 2.30%. Infosys shed 1.93%, Bharti Airtel declined 1.68%, and Bajaj Finserv dropped 1.25%.
Ajit Mishra, Senior Vice President of Research at Religare Broking Ltd, emphasized that investor sentiment remained positive, driven by strong domestic fundamentals and the absence of significant global concerns.
The Nifty Midcap100 and Nifty Smallcap100 indices also closed in the green, gaining 0.78% and 0.73%, respectively. India VIX, the fear gauge, dropped 1.83%, reflecting lower market volatility.
Among sectoral indices, Nifty Realty emerged as the star performer, surging 2.42%, followed by Nifty FMCG, which gained 1.89%, and Nifty Consumer Durables, which advanced 1.50%. The healthcare sector also showed strength, with the Nifty Healthcare Index rising 0.80%, and Nifty Pharma adding 0.41%. Banking stocks performed well, with Nifty PSU Bank gaining 0.75%, Nifty Private Bank up 0.34%, and Nifty Financial Services advancing 0.33%. Other notable gainers included Nifty Auto, which rose 0.36%, Nifty Media, which added 0.15%, and Nifty Metal, which inched up 0.18%.
However, only two sectoral indices closed in the red. Nifty IT declined 0.57%, and Nifty Oil & Gas marginally slipped by 0.04%.
Aditya Gaggar, Director of Progressive Shares, noted that after a significant rally, Nifty50 formed a Doji candlestick pattern near the important resistance level of 24,270, signaling a potential short-term reversal to ease overbought conditions. He pointed out key levels to watch: 23,900 as support and 24,270 as resistance for the Nifty50 moving forward.
