Indian equities closed higher on Thursday, buoyed by last-hour buying in heavyweight financials and IT stocks. The 30-share BSE Sensex gained 231.99 points, or 0.31%, to settle at 75,415.35, while the NSE Nifty 50 added 64.60 points, or 0.27%, to end at 23,719.30.
The session saw volatile trade as indices swung between gains and losses before a sharp uptick after 3 PM helped both benchmarks close near the day’s high. The upmove comes after two straight sessions of losses, signaling buying interest at lower levels.
How The Day Unfolded: Dip Bought, Highs Tested
Intraday Volatility Ends With Bulls In Control
– Nifty 50: Opened at 23,671.20 against the previous close of 23,654.70. The index touched an intraday low of 23,671.00 right at the open, then climbed steadily to a high of 23,835.65 by noon. Profit booking dragged it to 23,700 by 2:30 PM, but a final-hour push saw it close at 23,719.30.
– BSE Sensex: Opened at 75,260.39 vs previous close of 75,183.36. It hit a high of 75,810.97 before slipping to a low of 75,230.75. A late surge of over 180 points helped it settle at 75,415.35.
Both indices closed above their opening and previous close levels, indicating underlying strength. Nifty remains 1,536 points above its 52-week low of 22,182.55, while Sensex is 3,869 points higher than its 52-week low of 71,545.81.
Sector Scorecard: Banks, IT Lead; FMCG Lags
Broader Markets Outperform As Midcaps Shine
– Gainers: Nifty Bank rose 0.5% led by HDFC Bank and Kotak Mahindra Bank. Nifty IT added 0.6% as TCS, Infosys, and HCL Tech saw buying ahead of US tech earnings. Realty and Auto indices gained 0.8% and 0.4%, respectively, on strong demand commentary.
– Laggards: Nifty FMCG ended flat. ITC and HUL faced selling pressure after recent rallies. Oil & Gas index slipped 0.2% as Brent crude stayed elevated.
– Broader Market: Nifty Midcap 100 rose 0.4% and Nifty Smallcap 100 added 0.7%, outperforming the benchmarks. Market breadth was positive with 2,100 stocks advancing vs 1,450 declining on the NSE.
Corporate Watch: Earnings, Deals Move Stocks
Q4 Season Nears End; Boardroom Action In Focus
1. SBI Q4 Eyed By Street
State Bank of India will report Q4 numbers tomorrow. Analysts expect loan growth of 13-14% YoY and stable NIMs. Asset quality trends and credit cost guidance will be key. The stock closed 0.9% higher.
2. Reliance AGM Buzz Builds
Shares of Reliance Industries gained 0.4% amid anticipation of updates on new energy and Jio Financial Services at the upcoming AGM. Investors are tracking timelines for solar and hydrogen projects.
3. Tata Motors Demerger Play
Tata Motors advanced 1.2% as the record date for its CV and PV business demerger nears. The move is expected to unlock value and improve strategic focus.
4. Pharma Gets FDA Boost
Sun Pharma rose 1.1% after its Halol plant received an Establishment Inspection Report from the US FDA, paving the way for new launches. Dr. Reddy’s and Cipla also closed higher.
5. Defence Orders Drive L&T, BEL
Larsen & Toubro gained 0.6% on fresh defence and infra orders worth over Rs 3,000 crore. Bharat Electronics added 1.4% on export order wins.
Global Cues: Fed Minutes, Oil Keep Traders Wary
Geopolitical Risks, Rate Path Dominate Global Sentiment
1. Fed Minutes Signal Patience
Minutes from the US Federal Reserve’s May meeting released overnight showed policymakers remain data-dependent, with no urgency to cut rates. US 10-year yield held at 4.68%. The dollar index was steady at 106.5, capping gains for EM equities. Rate-cut bets have now shifted to September.
2. Brent Stays Above $105 On Supply Worries
Brent crude traded near $105.4/bbl as tensions in the Middle East persisted. Red Sea shipping disruptions and stalled US-Iran nuclear talks kept risk premium high. Higher oil remains a headwind for India’s inflation and current account.
3. China Data Mixed; Stimulus Hopes Alive
China’s industrial profits for April grew 4.1% YoY, below estimates. Markets expect targeted stimulus from Beijing to support growth. Shanghai Composite ended flat.
4. Israel-Iran Tensions Simmer
Reports of renewed strikes in Syria kept geopolitical risk premium elevated. While no direct impact on India yet, traders remain watchful of any escalation that could spike oil further.
Flows & Macros: DIIs Counter FII Selling
Domestic Funds Absorb Foreign Outflows; Rupee Steady
Provisional data showed Foreign Institutional Investors net sold equities worth Rs 1,120 crore, marking the third straight day of outflows. Domestic Institutional Investors net bought Rs 1,350 crore, providing support. Year-to-date FII inflow stands at Rs 8,400 crore.
The rupee closed at 83.62 against the dollar, up 3 paise, aided by softening crude in late trade. India’s 10-year bond yield ended at 7.06% ahead of the RBI’s policy minutes due next week.
Technical Outlook: 23,800 Next Hurdle For Nifty
Options Data Points To Rangebound Trade; VIX Cools Off
Nifty closed above 23,700 but faces resistance at 23,800-23,835. A break above the day’s high could open 23,950. Support is at 23,670 and 23,600. Sensex resistance lies at 75,800, with support at 75,230.
India VIX fell 2.3% to 13.5, indicating reduced near-term fear. Max pain for the weekly expiry is at 23,700. Call writers were active at 23,800 and 24,000, while puts saw additions at 23,600.
Market View: The close above 23,700 keeps the short-term bias positive. However, global cues, oil prices, and FII flows will dictate the next move. Traders should watch 23,800 for a breakout. Investors can use dips toward 23,600 to add quality largecaps. Stock-specific action will continue as the Q4 season winds down.
Key Takeaway: The market showed resilience despite global uncertainty. With earnings largely priced in, direction now hinges on Fed cues and crude. For now, bulls have a slight edge.
