Stock Market Performance: On Monday, October 14, the Indian stock market rallied, buoyed by significant gains from leading banking and IT stocks, including HDFC Bank and Infosys. The major indices, the Sensex and the Nifty 50, resumed their upward trajectory.
Impact of Oil Prices
A notable decline in crude oil prices positively impacted the market sentiment. Brent crude futures dropped over 2% to $77.02 per barrel, and US West Texas Intermediate crude futures fell 2.7% to $73.52 per barrel, alleviating some inflationary pressures that often concern investors.
Global Market Sentiment
Despite this, the overall gains were somewhat limited by weak global cues. Reports from Reuters indicated that China’s recent economic stimulus announcement failed to energize global investors, contributing to the cautious mood in international markets.
Market Closing Summary
The Sensex ended the day up 592 points, representing a 0.73% increase, closing at 81,973.05. Meanwhile, the Nifty 50 gained 164 points, or 0.66%, to settle at 25,127.95.
Top Gainers and Losers
In terms of individual stocks, Tech Mahindra, HDFC Bank, Larsen & Toubro, ITC, and IndusInd Bank were the leading gainers within the Sensex index. Conversely, Maruti Suzuki, Tata Steel, Bajaj Finance, Axis Bank, and UltraTech Cement were among the top losers of the day.
Midcap and Smallcap Movement
The BSE Midcap and Smallcap indices also noted positive movements, closing up by 0.28% and 0.06% respectively, indicating a broad-based enthusiasm in the market.
Stocks Reaching New Heights
Intraday trading revealed impressive performance as approximately 249 stocks, including HCL Tech, Tech Mahindra, and Divi’s Labs, reached fresh one-year highs on the Bombay Stock Exchange (BSE), showcasing optimism in the marketplace.
Market Capitalization Insights
The overall market capitalization of the BSE-listed stocks surged to nearly โน463.6 lakh crore, up from โน462.3 lakh crore in the previous session, translating to an increase of about โน1.3 lakh crore in investors’ wealth within a single day.
Advancing Stocks Ratio
Market breadth favored gainers slightly, with 2,069 out of the 4,195 stocks traded on the BSE advancing while 1,972 declined, reflecting a positive sentiment among traders.
Future Market Predictions
According to expert analyses, traders will be keenly observing the quarterly results from major companies such as Reliance Industries and HCL Tech in Tuesday’s trades. Continued recovery in banking stocks and strength in IT may drive further gains. Analysts suggest that the Nifty faces resistance around the 25,300 level, urging traders to adopt a stock-specific approach and consider hedging strategies.
Technical Analysis Overview
From a technical perspective, analysts indicate that the Nifty 50 has resumed its upward movement towards the 25,500 mark after a brief consolidation. A recent positive crossover in the hourly momentum indicator suggests a potential buy signal for traders.
Wrapping Up
Experts forecast continued positive momentum over the next few trading sessions, with targets set between 25,234 and 25,360. Support is now expected around the 24,920 mark. Additionally, Bank Nifty has shown signs of breaking out from a three-day consolidation, progressing towards the 52,500 level, highlighting a stable recovery.
Disclaimer: The views and recommendations presented in this report are based on individual analysts, experts, and brokerage firms. We advise consulting certified professionals prior to making any investment decisions.
