The benchmark BSE Sensex gained 520.90 points or 0.65% to close at 80,116.49, while the broader Nifty 50 index closed at 24,328.95, higher by 161.70 points or 0.67%.
Here’s how analysts read the market pulse:
The Indian equity market sustained its positive momentum, driven by better outcome from the latest set of IT results and optimistic forward-looking comments, said Vinod Nair, Head of Research at Geojit Investments.
“However, profit booking was visible in financials after the recent sharp rally. While US-China trade tensions appear to be easing, a rally in U.S. tech stocks has further bolstered overall global market sentiment. The mixed domestic Q4 earnings and uptick in crude prices, along with the recent outperformance of the domestic market, can trigger some consolidation in the near term,” said Nair.
Despite these near-term headwinds, market fundamentals remain robust. “The Indian economy is strong and macros are improving. This will impart resilience to the markets,” said Dr. VK Vijayakumar, Chief Investment Strategist at Geojit Financial Services. However, he cautioned that the recent geopolitical developments could inject a degree of uncertainty.
Tuesday’s militant attack in Kashmir’s picturesque Pahalgam region — which left at least 26 tourists dead and several others injured — has cast a shadow over sentiment. The assault, coming at the start of the crucial summer travel season, has triggered panic among visitors, many of whom are now rushing to exit the region.Dr. Vijayakumar added, “There is a big unknown, and that is the nature and magnitude of the Indian response to the terror attack. This unknown factor will make the market a bit nervous, leading to volatility.”Also read | 5 Wall Street moguls who dismissed Bitcoin as a fad — Guess what they’re saying now!
US markets
Wall Street’s main indexes rallied on Wednesday, with the S&P 500 touching a two-week high on hopes of a de-escalation in the U.S.-China trade war and as President Donald Trump scaled back his threats to fire Federal Reserve Chair Jerome Powell.That followed a Wall Street Journal report citing a senior White House official as saying that U.S. tariffs on China were likely to come down to between roughly 50% and 60%.
Among key earnings, Tesla leapt nearly 8%. The EV-maker reported better-than-expected profit for its core auto business. CEO Elon Musk said he would step back from his involvement in the Trump administration to focus on running his numerous companies.
European stocks
European shares climbed to a near three-week high on Wednesday, boosted by strong earnings from Europe’s largest software maker SAP, while easing trade tensions between the United States and China lifted investor sentiment globally.
The pan-European STOXX 600 index ended 1.8% higher. Germany’s blue-chip index outperformed local peers to climb 3.1%.
SAP jumped 10.6% to mark its best day in six years after the German company topped analysts’ first-quarter profit expectations, lifting the European technology sector up 3.9%.
Tech View
The Nifty remained volatile after an optimistic start, supported by positive global cues, said Rupak De, Senior Technical Analyst at LKP Securities adding that “the sentiment remains upbeat as the index continues to trade above the previous swing high, the formation of a Hanging Man pattern on the daily chart serves as a warning for those holding net long positions.”
“Additionally, the RSI is on the verge of confirming a negative divergence. Going forward, a decline towards the 24,000–23,900 zone appears likely if the Nifty slips below 24,300. On the higher side, resistance is seen at 24,450–24,500,” said De.
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Most active stocks in terms of turnover
Waaree Energies (Rs 6,271 crore), HDFC Bank (Rs 2,964 crore), BSE (Rs 2,336 crore), HCL Tech (Rs 2,105 crore), ICICI Bank (Rs 1,988 crore), Infosys (Rs 1,639 crore) and Tata Motors (Rs 1,520 crore) were among the most active stocks on BSE in value terms. Higher activity in a counter in value terms can help identify the counters with highest trading turnovers in the day.
Most active stocks in volume terms
Vodafone Idea (Traded shares: 51.41 crore), Suzlon Energy (Traded shares: 9.79 crore), YES Bank (Traded shares: 8.95 crore), IDFC First Bank (Traded shares: 6.39 crore), Ola Electric Mobility (Traded shares: 5.82 crore), Eternal (Traded shares: 4.22 crore) and Canara Bank (Traded shares: 4.14 crore) were among the most actively traded stocks in volume terms on NSE.
Stocks showing buying interest
Shares of Waaree Energies, Au Small Finance Bank, Niva Bupa Health Insurance, HCL Tech, Latent View Analytics, Inventurus Knowledge and Redington were among the stocks that witnessed strong buying interest from market participants.
52 Week high
Over 81 stocks hit their 52 week highs today while 25 stocks slipped to their 52-week lows. Among the ones which hit their 52 week highs included HDFC Bank.
Stocks seeing selling pressure
Stocks which witnessed significant selling pressure were J&K Bank, Blue Star, Aavas Financiers, Alok Industries, J B Chemicals, City Union Bank and Muthoot Finance.
Sentiment meter neutral
The market sentiments were neutral. Out of the 4,106 stocks that traded on the BSE on Wednesday, 1,949 stocks witnessed declines, 2,028 saw advances, while 129 stocks remained unchanged.
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(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of the Economic Times)
