Stock Market Today: Late Rebound Helps Sensex, Nifty Hit Record Highs After One-Day Blip

The benchmark equity indices ended at fresh closing highs as markets rose sharply in the last hour of trade led by rallies in metal, auto and banking stocks. The markets recovered from a blip from paring gains around midday by surging sharply towards the closing bell.

The NSE Nifty 50 ended 470.45 points or 1.89% higher at 25,388.90, while the S&P BSE Sensex was 1,439.55 points or 1.77% higher at 82,962.71.

"Due to a lack of fresh triggers, the Index oscillated in a thin range till the afternoon session but the second half of the trading session was dominated by Bulls as a sharp rally was seen across the board which helped the Index to register a new high of 25,433.35," Aditya Gaggar director of Progressive Shares, said.

"All the sectors advanced with metal and auto being the top performers. Mid and smallcaps also soared higher but underperformed the frontline index," Gaggar said.

On the daily chart, Index has made a strong bullish candle which defines the tight grip of bulls and now the next hurdle is placed at 25,670 while on the downside, 25,250 will be considered as support, he added.

All the sectoral indices on the NSE advanced, with Metal and Auto rising the most.

Shares of Reliance Industries Ltd., HDFC Bank Ltd. and Bharti Airtel Ltd. led the gains in the Nifty.

On BSE, 20 sectors advanced with the BSE Metal emerging as the top performing sector with over 3% gain. The BSE Realty had the least gain on Thursday.

Broader markets underperformed benchmark indices. The BSE Midcap and Smallcap indices ended 1.32% and 0.79% higher.

Market breadth was skewed in favour of buyers. Around 2,346 stocks advanced, 1,609 stocks declined, and 114 stocks remained unchanged on BSE.

• The local currency settled flat against the US dollar at 83.9650 on Thursday. 

• Intraday, it hit a record low of 83.9912 a dollar.

• It closed at 83.9775 a dollar on Wednesday.

Source: Cogencis

• Nifty, Sensex jumped sharply in the last hour of trade to close at record highs

• Both Nifty and Sensex continued uptrend after one-day drop

• All Nifty 50 stocks ended higher

• Nifty ends 1.89% or 470.45 points higher at 25388.90

• Sensex ends 1.77% or 1,439.55 points higher at 82962.71

• Intraday, Nifty rose as much as 2.07% to its lifetime high of 25,433.35 and Sensex added as much as 1.95% to hit its record high of 83,116.95

• Broader indices also ended higher; Nifty Midcap 100 ended 1.19% up while Nifty Smallcap 250 closed 0.78% higher.

• All sectoral indices ended higher; Nifty Metal was the top gainer

• Rupee weakened by 1 paise to a record low of 83.9912 against the US dollar.

The Indian markets surged in the second half of Thursday's trading session led by metal, auto and banking stocks. The Nifty 50, India's benchmark index, surged by over 193 points in 15 minutes, ahead of their weekly expiry on Thursday, after trading below their opening price for a major part of the day. Similarly, the Sensex hit a record high rallying 1,400 points from its day low.

Pankaj Murarka, CIO, Renaissance Investment Managers said that fundamentally for the last 18 months we have been into a very steep rate hikes by US fed and now cycle is reversing. He expects a 200 bps rate cut in US over next 12-15 months.

"If that is the case we are going to see significant amount of capital flowing back to emerging markets," he said. He noted that in the last rate cut cycle during COVID India's weight in MSCI emerging market was 8% now it is 20%. "India will get much higher flows than we got last year," he said.

On what will be the next leg of the rally, he said market is witnessing sectoral rotation. Valuations of defence, railway, capital goods, industrials are rich, he said adding that he expects some laggards to perform as headwinds in these are behind. These include IT, private sector banks, consumer, and discretionary.