In Short
- Metal, auto and IT stocks led the market rally
- Tata Steel surged 4.31%, Bharat Electronics up 3.55%
- Nifty Metal index gained 2.48%, FMCG index fell 0.10%
Benchmark stock market indices closed higher on Monday, starting the week on a positive note, fuelled by a rally in metal, IT, and auto sector stocks.
The S&P BSE Sensex added 418.81 points to close at 81,018.72, while the NSE Nifty50 gained 157.40 points to end at 24,722.75.
Vinod Nair, Head of Research, Geojit Investments Limited, said that the domestic equity market edged higher, supported by strong performance in the metal and auto sectors.
“A weakening U.S. dollar, along with robust monthly auto sales and encouraging quarterly results from leading automakers, helped renew investor interest in these sectors,” he added.
Markets closed with strong gains in metal, auto and tech stocks. Tata Steel led the gainers with a sharp rise of 4.31%, followed by Bharat Electronics Limited which jumped 3.55%. Adani Ports and Special Economic Zone rose 3.24%, while Tech Mahindra was up by 2.53% and Tata Consultancy Services gained 2.39%.
Power Grid Corporation of India saw the biggest fall, slipping 1.01%. HDFC Bank also dropped by 0.99%, and ICICI Bank declined 0.60%. Hindustan Unilever was down 0.25%, while ITC ended flat with a slight dip of 0.04%.
Nifty Midcap100 rose by 1.40% while the Nifty Smallcap100 gained 1.27%. On the other hand, India VIX, slipped slightly by 0.06%. Among sectoral indices, most ended in the green.
Nifty Metal jumped the most with a gain of 2.48%, followed by Nifty Realty which rose 1.77%, Nifty Auto up by 1.61%, Nifty IT up 1.60%, Nifty Media up 1.51%, Nifty Consumer Durables up 1.37%, Nifty PSU Bank up 1.26%, and Nifty Pharma which added 0.65%. Nifty Healthcare Index rose 0.57%, Nifty Oil & Gas increased by 0.55%, Nifty Financial Services 25/50 gained 0.44%, and Nifty Private Bank edged up by 0.13%.
Only one index, Nifty FMCG, ended in the red, falling by 0.10%.
“The Q1 earnings summary indicates that consumption-driven companies are benefiting from a rebound in volume demand. Meanwhile, rising unemployment and slower job creation in the U.S. have reinforced expectations of a potential FED rate cut. However, there still remains room for caution due to high U.S. tariffs,” said Nair.
“A decisive break above 24,800 could trigger further upside toward the 25,000 mark, which acts as the next key resistance. Conversely, a close below 24,600 would indicate a resumption of the corrective phase,” said Mr. Ajit Mishra – SVP, Research, Religare Broking Ltd.
