The Indian equity indices finally took a breather from volatile trading in Wednesday’s session. The markets traded on a higher note throughout the day as inflation cooled down to 6-year lows.
The Nifty closed the session 88.55 points or 0.36% at 24,666.90, the Sensex rose 182 points or 0.22% to end at 81,330.
However, the Nifty Bank succumbed during the last trading hours, falling 78 points or 0.14% to end at 54,863.
The small and midcap stocks were in line with the benchmark indices. The BSE Smallcap rose 802.27 points or 1.67% to finish at 49,978.95, and the BSE midcap surged 520.45 points or 1.19% to 44,327.28.
“We believe this is a healthy pause in Nifty following Monday’s rally, and it may continue for another session or two. In the meantime, traders should maintain a stock-specific approach and use this consolidation phase to accumulate fundamentally strong names. Alongside key sectors, themes such as defense, railways, and PSU banking are also offering trading opportunities. However, it’s important to maintain a balanced view and avoid excessive exposure,” said Ajit Mishra, Senior Vice President of Research at Religare Broking.
5 big highlights from today’s market action-
Indices in intraday trade
The indices surged as soosn as they started trading. During the session, the Nifty 50 rose as much as 0.76%, while the 30-stock index, Sensex, advanced 0.66%.
Sectoral Index
The Nifty Metals outperformed and closed at the highest level among the sectoral indices, rising 2.46% to a 9,052.10 level in Wednesday’s trade. It was followed by Nifty Realty and Nifty IT, surging 1.70 and 1.34% respectively. The Nifty Bank lost 140 points or 0.25% to close at 54,801.
The broader markets, small- and mid-cap stocks closed on a higher note. The volatility index has cooled down in today’s trade by 5.35% to the 17.23 level.
Market breadth remained in favour of bulls
The overall market breadth remained in favour of bulls. Out of 2,960 stocks traded, 2,183 advanced and 694 declined. Also, 83 stocks remained unchanged. Today, 61 stocks hit a fresh 52-week high compared with 13 stocks hitting a 52-week low. Adding to that, 200 stocks touched the upper circuit and 30 were at the lower circuit.