The Indian stock market ended on a positive note, with the Sensex rising by 227 points and the Nifty closing at 23,250. Despite volatility due to the monthly expiry, the indices managed to sustain gains, driven by strength in realty, pharma, and PSU stocks.
On the sectoral front, oil & gas, power, pharma, energy, PSU, FMCG, and realty gained between 0.5-1 percent, providing support to the market. Meanwhile, the IT, media, auto, and consumer durables sectors faced selling pressure, declining by 0.4-2 percent.
Among the major gainers on the Nifty were Bharat Electronics, Hero MotoCorp, Bharti Airtel, Cipla, and Power Grid Corporation. On the other hand, Tata Motors, Shriram Finance, Adani Enterprises, Bajaj Finserv, and Adani Ports were the top losers of the day. The BSE Midcap and Smallcap indices remained largely flat, reflecting a mixed market sentiment.
A key factor influencing market movements was the US Federal Reserve’s decision to keep benchmark rates unchanged, which provided some stability. However, foreign investors have been pulling funds out of Indian equities, withdrawing a staggering ₹76,273 crore in January 2025 alone. This is in stark contrast to the entire calendar year of 2024, where the total FII outflow stood at just ₹427 crore. After being net buyers in December, foreign investors have turned cautious over the past few days.
From a technical perspective, the Nifty demonstrated strength, with the 23,000 level acting as a crucial support for a buy-on-dips strategy. If the index holds above this level, further upside potential remains. Traders should watch global cues and FII activity closely to gauge near-term market trends.
Looking ahead to Friday’s trading session, a buy-on-dips strategy near 23,000 could be effective, especially in sectors showing resilience such as pharma, PSU, and FMCG. Volatility is expected to persist due to the expiry effects, and sectoral rotation will play a crucial role in determining market direction. With external factors like global interest rate policies and FII sentiment influencing trends, traders should remain cautious yet opportunistic in their approach.
Comments
Post a Comment