Indian equity indices ended on a flat note in a volatile session on September 24, 2024, despite the Nifty crossing the 26,000 mark for the first time. By the close, the Sensex was down 14.57 points or 0.02 percent at 84,914.04, and the Nifty was up 1.40 points or 0.01 percent at 25,940.40. Major Nifty gainers included Tata Steel, Hindalco Industries, Power Grid Corp, Tech Mahindra, and Adani Enterprises.
Conversely, the biggest losers were SBI Life Insurance, HUL, Grasim Industries, UltraTech Cement, and Shriram Finance. Sector-wise, the metal index surged by 3 percent, the oil & gas index rose by 0.6 percent, and the power index gained 1.4 percent. However, the PSU Bank, FMCG, and telecom sectors fell by 0.5-1 percent.
The BSE midcap and smallcap indices closed on a flat note. Prashanth Tapse, Senior VP (Research), Mehta Equities, said, “Although markets ended on a lacklustre note after a volatile session, key benchmark indices hit new milestones, showing that liquidity flows remain strong as investors are confident in India’s long-term growth story.
Vinod Nair, Head of Research, Geojit Financial Services, stated, “Domestic benchmarks are attempting to sustain new highs, driven by the US Fed’s aggressive rate cuts. The Chinese central bank’s rate cut and additional stimulus measures have positively influenced global investor sentiment, benefiting domestic metal stocks.
Meanwhile, FMCG and banking stocks declined due to profit-booking at higher levels. Expectations of a rate cut by the RBI in October are likely to maintain momentum.
Ajit Mishra, SVP, Research, Religare Broking, said, “Markets traded in a subdued manner, closing nearly unchanged after a recent rally.
Tata Steel leads Nifty gains
Sector-wise, metals, energy, and IT posted decent gains, while FMCG and financials saw profit booking. We maintain a consolidation view with a positive bias, driven by rotational buying in heavyweights. Focus on stock selection and use dips to accumulate quality stocks, as Nifty holds strong support around the 25,600-25,800 zone.”
Aditya Gaggar, Director of Progressive Shares, noted, “The markets witnessed both bullish and bearish activity.
After a muted opening, the Index corrected a bit, oscillating in a thin range before IT counters helped the Index surpass the psychological barrier of 26,000; however, it eventually settled at 25,940.40. Among the sectors, Metal was the top gainer followed by IT and Auto, while PSU Banking lagged. Midcaps outperformed the Frontline Index, while Smallcaps ended in the red.
The Nifty must break above 26,000 for the rally to continue, with strong support at 25,800-25,850.”
Rupak De, Senior Technical Analyst, LKP Securities, said, “The Nifty traded within a narrow range today, taking a breather after a three-day rally. The short-term sentiment remains positive, supported by a bullish crossover in the daily RSI. However, decisive movement above 26,000 is required for the rally to continue.
Until then, expect range-bound movement between 25,800 and 26,000.”
The Indian rupee ended 12 paise lower at 83.67 per dollar on Tuesday against Monday’s close of 83.55. Overall, Indian equity indices concluded the day on a flat note amidst volatility, with mixed performances across various sectors. The Nifty’s milestone cross of 26,000 highlighted investor confidence, despite sessions of profit-booking disrupting gains.
