Benchmark stock market indices ended Thursday's session with marginal gains after a brief rally in the morning was eventually dampened by a decline in stocks of FMCG giants. The S&P BSE Sensex added 18.18 points, closing at 78,491.05, while the NSE Nifty50 gained 22.55 points to settle at 23,750.20. Despite the positive close, the day's performance reflected cautious investor sentiment and a lack of clear triggers to push the market decisively in either direction.
Aditya Gaggar, Director of Progressive Shares, observed that market participants are finding it challenging to overcome the immediate resistance level of 23,850. "After a strong opening, the index saw an upward movement, primarily led by banking stocks, but the rally fizzled out quickly. Without any major triggers or fresh cues, the market traded within a narrow range and ended the day with a modest gain of 22.55 points. This lackluster activity was mirrored in the broader market indices as well," he said. Gaggar also highlighted the general sentiment in the market, noting that investors are currently cautious and awaiting new information that could provide a clearer direction.
In today's trading session, Adani Ports and Special Economic Zone emerged as the top performer, surging 5.22%. This marked a strong gain for the stock amid a largely tepid market environment. Other stocks that saw notable gains included Mahindra & Mahindra, which rose by 1.90%, SBI Life Insurance, which advanced by 1.66%, Maruti Suzuki India, which added 1.63%, and Shriram Finance Limited, which gained 1.56%. These stocks contributed significantly to the positive close of the indices, although their individual performances were not enough to drive a broader market rally.
On the other hand, Titan Company led the list of decliners with a drop of 1.17%, followed by Asian Paints, which fell 0.99%. Both of these stocks, which are typically considered market leaders in their respective sectors, weighed on the broader market sentiment. Tata Consumer Products and JSW Steel also declined by 0.80%, while Grasim Industries rounded out the top losers with a decrease of 0.67%. These losses were enough to offset some of the gains in other parts of the market, contributing to the subdued overall performance.
In terms of sectoral performance, most of the Nifty50 indices ended in positive territory, reflecting some degree of investor optimism despite the flat overall market. Nifty Auto was the top performer, rising by 0.84%. This was followed closely by Nifty Healthcare, which gained 0.78%, and Nifty Pharma, which saw an increase of 0.68%. The healthcare and pharmaceutical sectors have seen increased interest due to ongoing concerns related to public health, making them relatively resilient in a broader market context. Other notable advances included Nifty Financial Services Ex-Bank (up by 0.49%) and Nifty Midsmall IT & Telecom (also up by 0.49%). Nifty Consumer Durables added 0.44%, and Nifty PSU Bank gained 0.31%. Nifty Financial Services 25/50 rose by 0.28%, Nifty Midsmall Healthcare was up by 0.26%, and Nifty Realty posted a modest gain of 0.23%. Nifty Oil & Gas, while not posting significant gains, ended up by 0.08%, contributing to the slightly positive trend seen across multiple sectors.
On the downside, Nifty Media suffered the steepest decline of 1.46%, as the sector continues to struggle amid lower consumer demand and the ongoing transition to digital platforms. Nifty FMCG also experienced a decline of 0.32%, with large-cap FMCG stocks such as Hindustan Unilever and Dabur coming under pressure. Other sectors that saw losses included Nifty Private Bank, which fell by 0.16%, Nifty Metal, which was down 0.14%, and Nifty Bank, which saw a minor decline of 0.12%. Nifty Midsmall Financial Services dropped 0.09%, while Nifty IT showed a marginal decline of 0.01%, indicating that the tech sector's recent momentum has stalled for now.
Satish Chandra Aluri from Lemonn Markets Desk commented that investors are currently in a holding pattern, awaiting fresh triggers that could provide a clearer sense of direction for the market. "The overall sentiment remains cautious, and there haven't been any major moves in either direction recently. Given the lack of significant news or developments, markets are expected to remain in a sideways consolidation phase until the new year," he noted. Aluri added that key events in the coming months, including the earnings season, the budget announcement, and international developments such as the inauguration of Donald Trump, could act as potential triggers for the market's next major move in 2025. However, until these events unfold, the market is expected to continue its current range-bound movement, with limited volatility and muted trading activity.
