The Indian stock market witnessed a positive turnaround as blue-chip companies recovered from early losses, resulting in the benchmark indices, Nifty and Sensex, closing at new highs on Tuesday. The NSE Nifty 50 index registered a 0.16 percent increase to reach 21,453, while the BSE Sensex settled at 71,437 levels with a gain of 0.17 percent.
Coal India emerged as the top gainer in the Nifty50 index, extending its early gains to 5.55 percent. Nestle also performed well, rising by 4.66 percent after announcing a record date for stock split. State-run NTPC witnessed a growth of 2.13 percent, while Tata Consumer, Cipla, Reliance, SBI Bank, and Apollo Hospitals gained more than 1 percent.
On the other hand, Adani Ports, Hero Motocorp, SBI Life, Wipro, Adani Enterprises, UPL, Eicher Motors, TCS, and HCL Technologies faced downward pressure, losing more than 1 percent on the index.
According to Mandar Bhojane, a Research Analyst at Choice Broking, the Indian benchmark indices concluded with marginal gains in a highly volatile session. The Nifty achieved a new all-time high at the 21,505 level, indicating potential bullish momentum. Bhojane suggests that if the Nifty surpasses the 21,500 level, there is a possibility of further upward movement in the coming days.
The FMCG sector played a crucial role in reversing the market negativity, surging by 1.41 percent. Nestle, Varun Beverages, and Colgate Palmolive were the main contributors to this sector. However, the metals and IT sectors suffered losses of 0.95 percent and 0.67 percent, respectively.
In terms of mid-cap and small-cap indices, they continued to trade negatively, with a decline of 0.38 percent and 0.12 percent, respectively. Among the Nifty 50 mid-cap stocks, Voltas performed well with a rise of 3.26 percent, followed by Bharat Forge, Aurobindo Pharma, and Jubilant Food.
Spice Jet witnessed a 3 percent increase in its stock price as it confirmed its participation in the bidding process for the bankrupt airline Go First. Meanwhile, Glycols saw its stock price rise by 8.22 percent after securing an order worth Rs 1,164 crore for the supply of ethanol under the Ethanol Blended Petrol Scheme. Devyani International also experienced a 5.33 percent jump as it announced its entry into Thailand’s quick-service restaurant business in partnership with Temasek Holdings.
The Indian stock market’s positive rebound reflects the potential for further upward movement in the coming days, providing buying opportunities for investors. The FMCG sector’s substantial growth helped mitigate the losses in other sectors. As the market continues to show volatility, investors are advised to closely monitor individual stocks and sector movements to make informed investment decisions.
