Indian stock market continues upward trend as IT, auto stocks lead

Domestic equity markets extended gains for a second straight session on Tuesday, driven by strong performance in IT, automotive, metals, and FMCG sectors. Optimism was further bolstered by global market positivity after the US Senate approved legislation to conclude the country’s longest federal government shutdown.

The benchmark Sensex closed at 83,871.32, advancing 335.97 points (0.40%) after opening higher at 83,671.52 against Monday’s close of 83,535.35. The index climbed to an intraday peak of 83,936.47 amid sustained buying activity in technology and automobile stocks.

The NSE Nifty 50 rose 120 points (0.47%) to settle at 25,694.95.

Vinod Nair, Head of Research at Geojit Investments Limited, noted: “Initial market weakness due to concerns around the Delhi explosion was offset by global tailwinds following the US shutdown resolution. With earnings season nearing completion, broader market quarterly results have outperformed expectations.”

Bharat Electronics Limited (BEL), Adani Ports, Mahindra & Mahindra, HCL Technologies, Bharti Airtel, Infosys, Sun Pharma, Hindustan Unilever, L&T, Tech Mahindra, and TCS emerged as top Sensex gainers. Bajaj Finance, Bajaj Finserv, and Tata Motors passenger vehicles division closed in negative territory.

Sectoral indices largely ended higher, with IT stocks leading gains. Key sector performances:

• Nifty IT: +428 points (1.20%)
• Nifty Auto: +288 points (1.07%)
• Nifty FMCG: +188 points (0.34%)
• Nifty Bank: +200 points (0.35%)

Broader markets showed divergence as midcaps rose but smallcaps faced selling pressure:

• Nifty Midcap 100: +302 points (0.50%)
• Nifty Smallcap 100: -37 points (0.21%)
• Nifty 100: +109 points (0.42%)

(Inputs from IANS)