Benchmark stock indices in India ended higher on Monday, marking a strong start to the week amid gains in metal, IT, and auto sector stocks. The S&P BSE Sensex climbed 418.81 points to settle at 81,018.72, while the NSE Nifty50 advanced by 157.40 points to finish at 24,722.75.
Market sentiment was buoyed by a weakening U.S. dollar, strong monthly auto sales, and better-than-expected quarterly earnings from leading automakers. This renewed investor interest across key sectors, especially in metal and auto. Notably, Tata Steel led the rally with a 4.31% surge, followed by Bharat Electronics Limited (up 3.55%) and Adani Ports (up 3.24%). Tech stocks also showed strength, with Tech Mahindra and TCS gaining over 2%.
On the downside, Power Grid saw the steepest fall at 1.01%, while HDFC Bank and ICICI Bank also edged lower. Hindustan Unilever dipped slightly, and ITC ended nearly flat.
Broader indices also reflected positive momentum, with Nifty Midcap100 and Smallcap100 gaining 1.40% and 1.27%, respectively. The volatility index, India VIX, remained largely unchanged.
Sectoral indices largely traded in the green. Nifty Metal was the top performer, rising 2.48%, followed by Realty, Auto, and IT. FMCG was the only sector that closed in the red, slipping by 0.10%.
Analysts note that consumption-driven companies are seeing a revival due to improving volume demand. Additionally, rising unemployment in the U.S. has raised expectations of a potential interest rate cut by the Federal Reserve, although global risks like high U.S. tariffs continue to warrant caution.
Market experts suggest that a decisive move above 24,800 on the Nifty could open the door to testing the 25,000 resistance level. On the flip side, a fall below 24,600 may signal a renewed corrective phase.
