Market Momentum: Nifty and Sensex Close Positively Amid Mixed Trends

On Wednesday, the NSE Nifty rose by 4.75 points while the BSE Sensex advanced by 149.86 points. Large-cap stocks led the gains, although broader indices displayed mixed performance. Analysts identified a reduction in volatility and cited cautious investor sentiment, with particular strength in IT and auto sectors.

On Wednesday, the stock market closed on a positive note, with the NSE Nifty climbing by 4.75 points, or 0.02%, to settle at 24,143.75. The BSE Sensex also saw an upward movement, gaining 149.86 points, or 0.19%, to reach 79,105.89. Despite the positive close, the Nifty witnessed a sideways trading session as the expiry approached.

Large-cap stocks powered the gains today, although the broader indices showed mixed trends. The Bank Nifty index dipped by 104.55 points, or 0.21%, ending at 49,727.30. Sector-wise performance varied, with IT and auto stocks outperforming, while metal and media stocks faced declines.

Top gainers on the NSE Nifty 50 included TCS, HCL Tech, Tech Mahindra, Infosys, and BPCL. Conversely, Divis Lab, Hero MotoCorp, Coal India, Ultratech Cement, and DR Reddy's Lab were the major laggards. Market analysts noted a cautious investor sentiment driven by weak domestic conditions and the risk of earnings downgrades. Vinod Nair of Geojit Financial Services highlighted the decline in WPI inflation, suggesting progress towards the RBI's price stability target. Meanwhile, the IT index's rise reflected optimism for better US CPI data, potentially influencing a looser monetary policy from the Fed.

Varun Aggarwal of Profit Idea remarked on the selective strength in large-cap stocks despite mixed broader market trends. The volatility index, INDIA VIX, cooled by 4.40%, settling at 15.46, indicating reduced market volatility. Hrishikesh Yedve of Asit C. Mehta Investment Intermediates Ltd. observed that the equity indices opened positively, driven by favorable global cues, but remained subdued throughout the day.

(With inputs from agencies.)