Mumbai: Indian stock markets ended higher for the third straight day on Wednesday, showing strong recovery after recent losses. The Sensex rose 633 points (0.83 percent) to close at 76,704, while the Nifty gained 196 points (0.83 percent) to settle at 23,777.
During the day, the Sensex even touched a high of 77,000, rising over 900 points at one point. The consistent gains reflect improving investor confidence.
IT Stocks Lead the Rally
The rally was mainly supported by strong buying in IT stocks.
Top gainers included Infosys, TCS, HCL Tech, and Tech Mahindra, which saw solid gains. Other stocks like Mahindra & Mahindra, Adani Ports, Axis Bank, and Eternal also performed well.
However, some stocks such as NTPC, Hindustan Unilever, Sun Pharma, and HDFC Bank ended lower.
Global Markets Support Sentiment
Positive global cues also helped Indian markets move higher.
Asian markets were strong, with South Korea’s Kospi jumping 5 percent and Japan’s Nikkei rising nearly 3 percent
Markets in China and Hong Kong also closed in the green
European markets were trading higher
US markets ended with gains in the previous session
This global optimism boosted investor confidence in domestic equities.
Oil Prices Ease Slightly
Crude oil prices showed a small decline, which supported markets.
Brent crude slipped slightly to around $103.3 per barrel. Lower oil prices are positive for India as they reduce import costs and inflation pressure.
Buying After Recent Fall
Experts say the rally is driven by value buying and short covering after the recent market fall. Investors are now buying stocks at lower levels, expecting future gains.
Sectors like IT, realty, and auto led the recovery, along with strong participation from midcap and smallcap stocks.
FII Selling Continues
Foreign investors continued to sell shares. Foreign Institutional Investors (FIIs) sold equities worth Rs 4,741 crore, while Domestic Institutional Investors (DIIs) bought stocks worth Rs 5,225 crore, helping balance the market.
Previous Session Gains
Markets had already gained in the previous session as well. On Tuesday, the Sensex rose nearly 568 points, and the Nifty gained over 172 points, setting the stage for the current rally.
