The domestic key equity indices closed on a positive note for the second consecutive session on Wednesday. The NSE Nifty 50 rose 73 points or 0.32% to settle at 22,907, while the BSE Sensex rose 148 points or 0.20% to finish at 75,449.
Nifty Realty and PSU Bank were the top gainers among the sectoral indices, rising 2.8% and 1.98%, respectively, in Tuesday’s trade. However, as most of the sectoral indices closed on a positive note, the Nifty IT and FMCG closed in the red.
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The Nifty Bank surged 388 points or 0.79% to close at 49,703. Outperforming the benchmarks, the BSE Midcap jumped 918 points or 2.28% to close at 41,107.
Sectoral Index
In the broader markets, small- and mid-cap stocks closed the day on a positive note. The volatility index India VIX shot up 0.6% to the 13.30 level.
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The market breadth remained in favour of bulls. Shriram Finance (3.91%) was the top gainer in the Nifty 50, followed by HDFC Life (3.83%), Apollo Hospitals (2.93%), Tata Steel (2.51%), and Power Grid Corp (2.18%). Meanwhile, Tech Mahindra, ITC, TCS, Infosys, and Sun Pharma were the major losers in the Nifty 50.
“The domestic market continued its positive momentum, as part of the recent correction was justified by valuation. The sustainability of the relief rally depends on a revival in fundamentals. The recovery was broad-based, while metal stocks gained attention after the government decided to impose a tax on steel imports,” said Vinod Nair, Head of Research at Geojit Financial Services.
Technically, after a promising uptrend rally, the market is witnessing range-bound intraday activity at higher levels. It also formed a small bullish candle on daily charts, indicating indecisiveness between the bulls and the bears. “We are of the view that the short-term texture of the market is still on the positive side, but due to temporary overbought conditions, we could see range-bound activity in the near future,” said Shrikant Chouhan, Head of Equity Research at Kotak Securities.
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