Sensex And Nifty Finish Marginally Higher, Hormuz Uncertainty Keeps Investors Guarded

Mumbai: Benchmark equity indices ended higher on Monday after remaining in a narrow range, as investors stayed cautious amid uncertainty over an agreement to reopen the Strait of Hormuz.

Buying supported the benchmarks, although losses in PSU banks and consumer goods shares capped gains. The Nifty closed 13.15 points, or 0.05 per cent, higher at 24,583.80, while the Sensex advanced 43.27 points, or 0.06 per cent, to 78,542.44.

Technical Outlook

The Nifty continued to face resistance in the 24,600–24,700 zone. Analysts said a sustained move above 24,700 could strengthen buying momentum and pave the way towards 24,800.

On the downside, 24,500 remains the key support. Holding above this level could prevent renewed weakness, while a decisive breach may intensify selling pressure and pull the index towards the 24,400–24,300 region.

Cautious Trading

Both benchmarks fluctuated within a limited band before finishing slightly higher. Investors monitored geopolitical developments that could affect crude oil prices, inflation expectations and global risk appetite.

The subdued movement reflected a wait-and-watch approach as investors sought clarity on the Strait of Hormuz and its implications for energy supplies and economic growth.

State Bank of India, ITC and Eternal were among the Nifty laggards, exerting pressure on the indices.

Mixed Performance

The broader market presented a mixed picture. The Nifty MidCap index rose 0.62 per cent, outperforming the benchmarks, while the Nifty SmallCap index declined 0.27 percent.

Among sectors, the Nifty PSU Bank index was the weakest performer, falling nearly 2 per cent. The Nifty Pharma and Nifty FMCG indices also closed lower.

Realty shares, however, attracted buying interest, making the Nifty Realty index the session’s best-performing sectoral gauge.

Experts said the absence of a decisive move continued to underline investor caution. Nevertheless, sentiment is expected to remain constructive this week, with the phase of the Q1FY27 earnings season likely to drive stock-specific activity and influence the market trajectory.