Nifty sees modest gain, Sensex inches higher; Market sentiment remains cautious amid global developments
Mumbai: The stock market closed in the green on Thursday as the NSE Nifty 50 index concluded the trading session with a modest gain of 0.11 per cent, closing at 22,361.65. Similarly, the BSE Sensex ended 0.14 per cent higher at 73,751.22, indicating a positive sentiment among investors.
Among the Nifty companies, 24 saw advances while 25 faced declines. Grasim, Bharti Airtel, Nestle India, Maruti, and Tata Motors emerged as the top gainers, while Sun Pharma, BPCL, Reliance, Dr Reddy, and Hindalco were among the top losers.
Grasim Industries, Bharti Airtel, Maruti Suzuki, Nestle India, and Tata Motors were the top gainers in the Nifty 50 index, while Sun Pharma, BPCL, Reliance Industries, M&M, and Dr Reddy's Laboratories faced declines.
In the broader market, the BSE SmallCap index surged by 1.09 per cent, and the BSE MidCap index rose by 0.52 per cent, outperforming the benchmark indices.
European stocks witnessed a second consecutive day of gains, driven by strong earnings from major companies. The Stoxx Europe 600 index climbed 0.6 per cent, with the technology sector leading the charge.
Varun Aggarwal, founder and managing director, Profit Idea, said, "Investor attention remains on corporate earnings as approximately 180 companies, representing over 40 per cent of the S&P 500 market value, are reporting results. Recent market volatility, triggered by geopolitical concerns and signals indicating a cautious stance from the Federal Reserve regarding interest rate adjustments, has kept investors vigilant."
PMI data released on Tuesday reinforced expectations that the European Central Bank (ECB) is likely to commence policy easing soon. Private-sector activity surged to nearly a year-high, buoyed by a strong services sector and Germany's return to growth.
ECB Vice President Luis de Guindos suggested that a rate cut in June is highly probable, barring any unforeseen economic developments, leading to a rise in the euro against the dollar.
Treasuries remained stable ahead of upcoming bond auctions, despite yields reaching their highest levels in 2024. In the UK, the 10-year yield saw a slight uptick following the government's decision to increase the planned bond issuance for the fiscal year, contributing to one of the largest gilt packages on record.
Gold prices continued their decline amid reduced geopolitical tensions and indications of a prolonged period of higher interest rates by the Fed. Oil prices edged higher amidst ongoing developments between Israel and Iran, with signs of easing tensions following recent confrontations.
