Benchmark stock market indices ended higher on Monday even as traders booked profits after recent gains. The broader market mood remained positive, helped by easing global uncertainty and selective buying in large-cap stocks.
The S&P BSE Sensex rose 319.07 points to close at 83,535.35, while the NSE Nifty 50 gained 82.05 points to settle at 25,574.35. Most sectoral indices also finished in the green, led by information technology, finance and metals.
Infosys, Bajaj Finance, HCLTech, Coal India and Asian Paints were the top gainers, while Trent, Max Health, Tata Consumer Products and Apollo Hospitals ended in the red.
GLOBAL CUES LIFT SENTIMENT
Domestic equities tracked gains across global markets after reports suggested that the United States Congress is close to reaching a deal to end the country’s longest-ever government shutdown.
The deadlock had delayed the release of key economic data and created short-term uncertainty in global financial markets.
Ponmudi R, Chief Executive Officer of Enrich Money, said the easing of global uncertainty has lifted investor sentiment. “Indian equities ended higher, mirroring the upbeat mood across global markets after reports suggested that the U.S. Congress is nearing a deal to end the longest-ever government shutdown. The easing of global uncertainty lifted investor sentiment, fueling broad-based buying interest and reinforcing a risk-on tone in the domestic market,” he said.
He added that this global relief combined with consistent domestic inflows and strong earnings has helped Indian benchmarks stay resilient despite intermittent bouts of volatility.
Vinod Nair, Head of Research at Geojit Investments Limited, said the potential resolution of the US government shutdown along with renewed buying by foreign investors has supported market optimism.
“The potential resolution of the US government shutdown, coupled with renewed FIIs buying driven by a favourable Q2 earnings season, supported a positive sentiment in the market. The rise in the US 10-year Treasury yield reflects improving risk sentiment toward equities with the reopening of the federal government,” Nair said.
“Domestically, strengthening macroeconomic indicators are expected to underpin upward revisions in earnings estimates for the second half of FY26. This reinforces the current valuations and is likely to attract incremental liquidity. Sectorally, the IT index outperformed, buoyed by expectations of demand stabilisation,” he added.
TECHNICAL VIEW: MARKET HOLDS UPTREND
The Nifty 50 staged a modest rebound after two sessions of mild weakness. It continues to move within its rising channel pattern and has held steady near the support line that has guided the uptrend since March. The day’s low near 25,525 coincided with this support zone, triggering short covering and renewed buying toward the close.
According to technical analysts at Enrich Money, this bounce confirms that the broader uptrend remains intact, though momentum has slowed for now. The index is currently trading between 25,500 and 26,000. Support lies around 25,400, while resistance is expected near 26,350.
A strong close above 26,000 could push the index toward 26,300, whereas a dip below 25,300 may lead to mild profit booking toward 25,150. Overall, the market remains cautiously bullish, with traders showing confidence near support levels as global cues stay favourable.
BANK NIFTY STAYS RANGE-BOUND
The Bank Nifty closed nearly flat, continuing to consolidate within a narrow downward channel while maintaining its broader uptrend. The index found support near 57,300, while resistance remains strong around 58,100.
Analysts see this as a period of healthy consolidation rather than a reversal. Sustaining above 58,100 could take the index toward 58,500 to 58,800, whereas a slip below 57,250 might lead to a short-term decline toward 56,800.
WHAT NEXT?
With global sentiment improving and investors digesting Q2 earnings, analysts believe domestic markets are likely to remain steady in the near term. Volatility may persist as traders track the progress of the U.S. shutdown talks and monitor key economic data expected later this week.
Despite intermittent profit booking, the undertone in Indian markets remains positive, supported by strong fundamentals, steady foreign inflows and healthy corporate earnings.
