Sensex, Nifty posted gains for the second consecutive day.

Sensex rises 600 points, Nifty nears 22,550 as auto and metal stocks rally

The S&P BSE Sensex gained 609.86 points to close at 74,340.09, while the NSE Nifty50 added 207.40 points to end at 22,544.70. 

by · India Today

In Short

  • Sensex and Nifty close higher despite early losses
  • Auto, metal, and pharma stocks lead the rally
  • Crude oil price correction fuels energy sector gains

Benchmark stock market indices closed higher on Thursday despite erasing early gains, led by a rally in auto, metal and pharma sector stocks.

The S&P BSE Sensex gained 609.86 points to close at 74,340.09, while the NSE Nifty50 added 207.40 points to end at 22,544.70.

Vinod Nair, Head of Research, Geojit Financial Services said that the Indian indices exhibited resilience, owing to positive global cues following Trump’s softened tariff stance on automakers from Canada & Mexico amidst the weakening dollar index.

"Additionally, a correction in crude oil prices, influenced by a slowdown in demand and further economic stimulus from China, ignited optimism in the energy and metals sectors. Gains were further supported by strength in heavyweight banking and consumption stocks driven by improved liquidity conditions," he added.

Leading the gainers, Asian Paints surged an impressive 4.75%, followed by Coal India which registered a solid gain of 3.77%. Bharat Petroleum Corporation Limited (BPCL) climbed 3.56%, while Hindalco Industries advanced 3.51%. Energy giant Reliance Industries also performed well, rising 3.05%.

On the downside, Tech Mahindra (TECHM) was the biggest loser, declining 2.35%, while Trent fell 1.12%. Bharat Electronics Limited (BEL) slipped 0.88%, Britannia Industries dipped 0.68%, and Kotak Mahindra Bank edged lower by 0.67%.

Hrishikesh Yedve, AVP Technical and Derivatives Research at Asit C. Mehta Investment Interrmediates Ltd said that the next major resistance is around 22,668-22,720, where the next bearish gap is placed, followed by the previous breakdown point at 22,800.

"Thus, 22,720 and 22,800 will act as stiff resistance for the index. On the downside, 22,240 will act as immediate support. Though the overall market suggests strength, traders should wait for a move above 22,800. Until then, buy near support and take profits around resistance," he added.