Sensex Jumps Over 500 Points, FMCG And Banking Stocks Drive Market Rally

Mumbai: Indian stock markets advanced in early trade on Wednesday, with the Sensex and Nifty gaining around 0.7% as investors bought FMCG, banking, cement and automobile shares.

The NSE Nifty climbed 162 points, or 0.70%, to touch an intraday high of 23,281. The BSE Sensex jumped over 500 points, or 0.67%, to reach 74,505 during morning trading.

FMCG And Banking Stocks Lead

Sectoral buying supported the market rebound. The Nifty FMCG, Nifty PSU Bank, Nifty Cement and Nifty Auto indices emerged as the strongest performers, rising by up to 1.45%.

The Nifty Oil and Gas index gained 0.54%, while the Nifty Private Bank index advanced 0.33%. However, weakness continued in selected technology, healthcare, pharmaceutical and chemical shares.

The Nifty MidSmall IT and Telecom index declined 0.68%. Nifty MidSmall Healthcare, Nifty500 Healthcare, Nifty Pharma and Nifty Chemicals fell between 0.18% and 0.51%.

Global Risks Limit Market Rally

Market experts said the broader structure remained weak because elevated US bond yields and high crude oil prices continued to weigh on investor sentiment. Foreign institutional investors have sold Indian equities for five consecutive sessions and may continue selling during market rallies.

Investors are also awaiting the US Federal Reserve policy decision. An expected 25-basis-point interest rate increase is largely priced in, shifting attention towards the central bank’s economic outlook and guidance on future rate actions.

Nifty Support Levels In Focus

Technically, Nifty’s failure to remain above 23,515 weakened its recent recovery attempt. Consecutive closes below the lower Bollinger Band and Tuesday’s bearish engulfing candle indicated strong selling pressure, although market fear could be nearing a peak.

The index remains inside the important 23,260–23,000 support zone. A recovery from this band may revive buying, while a decisive close below it could expose Nifty to the deeper 22,600–21,800 range.