Stock market update: Nifty holds over 25,100; it, metal stocks increase sentiment of lagging inventory
The Indian stock benchmark remains scope-limited in trade on Tuesday afternoon, reflecting mixed sentiment across sectors. As of 2:31 pm IST, Nifty 50 added 18.50 points (0.07%) at 25,121.70, holding scores above 25,100. BSE Sensex hovered flat, rising only 0.38 points to 82,445.59, indicating that investors’ activity has become softer.
Adopting industry trends, metals and pharmaceutical inventory brought benefits, while PSU banks and real estate stocks were dragged down. Nifty IT index rose 1.68% to become a top division performer, powered by advancements in technology Mahindra, Infosys and HCL Technologies.
Grasim Industries is the biggest gain on Nifty, with a gain of 3.85% to Rs. 2,708.80. Other key factors in the upward aspect include Dr. Reddy’s lab, Tech Mahindra and Infosys. Meanwhile, Trent was the highest laggard, falling from 1.48% to Rs. 5,826, as well as Asian Paint, Eicher Motors and SBI Life Insurance.
The Nifty PSU Banking Index fell 0.64%, making it the worst performing industry, followed by a 0.5% decline in the real estate sector. The Nifty Bank Index also traded in red, down 0.37% to 56,631.85, a result of losses from ICICI banks and other private lenders.
The broader market is still largely flat, with the BSE mid- and small-cap index showing limited movement. The market breadth on NSE is slightly favorable to progressivers, but the overall momentum remains.
Despite the huge gains in the benchmark index over the past few weeks, analysts noted that investors’ warnings are reappearing in a high valuation of overvaluation, global tips and sector rotations. With U.S. inflation data expires tonight, global sentiment may affect the direction of the next meeting.
Technical analysts believe that the continuous movement exceeds Nifty’s 25,150 level, can open the door to a short-term bullish continuation, but can still be merged in the short term.
