In a remarkable turnaround, Indian benchmark indices experienced a robust rally on Thursday, snapping a two-day losing streak. The BSE Sensex surged by an impressive 490.97 points, or 0.69%, settling at 71,847.57, while the NSE Nifty50 climbed 141.25 points, or 0.66%, closing above the 21,650-mark at 21,658.60. The broader markets outperformed, with the BSE midcap index rising 1.5% and the BSE smallcap index gaining over 1%.
Despite muted global cues, the Indian stock markets exhibited resilience, opening higher and continuing to build on gains throughout the day. Notably, realty and financial sectors emerged as standout performers, contributing significantly to the market’s positive momentum.
Ajit Mishra, Senior Vice President – Technical Research at Religare Broking, highlighted the swift rebound, stating that the markets took a breather after two days of decline. Mishra emphasized the importance of a stock-specific trading approach and recommended a focus on overnight risk management, considering feeble global cues and mixed trends across heavyweights.
About Indian Stock Markets:
The fear gauge, represented by India VIX, saw a notable decline of over 5.3%, settling at 13.33. This suggests a reduction in market volatility, reflecting improved investor sentiment and confidence in the current market scenario.
All sectoral indices contributed to the positive momentum, with the Nifty realty index standing out by soaring over 6.75%. The Nifty financial services, private bank, and PSU bank indices each gained more than 1%, showcasing broad-based strength in the financial sector. Additionally, the Nifty FMCG and healthcare indices emerged as key gainers for the day.
Despite feeble global cues, the Indian stock market’s ability to rebound and post significant gains underscores the resilience and inherent strength of the domestic market. Traders are advised to remain vigilant, maintaining a stock-specific approach and keeping a keen eye on overnight risk management amid expectations of further consolidation in the index.
the positive performance of the Indian stock markets on Thursday reflects a renewed investor confidence, supported by robust gains in key sectors. As the markets navigate through global uncertainties, traders and investors are advised to adopt a cautious yet opportunistic approach to capitalize on emerging opportunities in the dynamic financial landscape.