Markets staged a strong comeback on Monday, with the BSE Sensex soaring 1,005.84 points or 1.27 per cent to close at 80,218.37, while the Nifty 50 index climbed 289.15 points or 1.2 per cent to end at 24,328.50.
Reliance Industries emerged as the top gainer, surging 5.07 per cent following robust March quarter earnings driven by strong performances in its telecom and retail businesses. Other major gainers included Sun Pharma (3.07 per cent), JSW Steel (2.91 per cent), BEL (2.59 per cent), and Dr. Reddy’s (2.35 per cent).
Among the top losers, Shriram Finance plunged 5.13 per cent, followed by Eternal (-0.92 per cent), UltraCemCo (-0.89 per cent), HCL Tech (-0.65 per cent), and Hindustan Unilever (-0.63 per cent).
Sectorally, all major indices except IT closed in positive territory, with Oil & Gas, Pharma, Energy, Metals, and Banking sectors leading the gains. The Nifty IT index was the sole underperformer, slipping 0.22 per cent.
“Nifty opened flat at 24,070 and made an intraday low of 24,054. However, it witnessed a sharp upmove, climbing to an intraday high of 24,355,” noted Sundar Kewat, Technical and Derivatives Analyst at Ashika Institutional Equity.
The broader markets also participated in the rally, with the Nifty Midcap 100 index gaining 1.62 per cent to close at 54,440.25, while the Nifty Smallcap index advanced by 0.78 per cent. However, market breadth remained slightly negative with 2,038 stocks declining against 1,958 advances on the BSE.
Steady foreign institutional investor (FII) inflows provided significant support to the market sentiment, with over ₹32,000 crore invested in the past eight days. Additionally, market participants were encouraged by news that India could be the first nation to finalize a bilateral trade deal with the United States.
“This buoyancy is certainly encouraging; however, participants should maintain a positive yet cautious bias, given the lingering geopolitical tensions,” advised Ajit Mishra, SVP, Research at Religare Broking Ltd.
On the technical front, Rupak De, Senior Technical Analyst at LKP Securities, observed, “The Nifty recovered smartly, shrugging off the negativity of last week. However, the upside was limited to the recent high, keeping the consolidation phase intact. On the higher end, 24,360 has remained a resistance level.”
The Bank Nifty index also showed strength, gaining 768.75 points or 1.41 per cent to close at 55,432.80. “Bank Nifty formed a bullish engulfing candle, indicating a potential resumption of the upward trend after a three-session pause,” noted Bajaj Broking Research.
In the currency market, the Indian rupee strengthened significantly against the US dollar, appreciating by 42 paise to settle at 85.03, its highest close since December 20, 2024. Dilip Parmar, Research Analyst at HDFC Securities, attributed this to “steady foreign investment and a calm geopolitical landscape.”
Meanwhile, gold prices retreated, with the yellow metal slipping by $4 to $3,277 in Comex and down ₹740 to ₹94,250 in MCX. “The easing came amid the US opening tariff talks with multiple nations and growing expectations of a possible China-US trade agreement,” explained Jateen Trivedi, VP Research Analyst at LKP Securities.
Looking ahead, market experts suggest that the Nifty could face immediate resistance around the 24,400-24,500 levels, while support is seen at 24,200-24,000. “A decisive breakout above 24,400 could trigger fresh momentum in the Nifty, potentially propelling it towards the 24,800 marks,” predicted Ajit Mishra.
Volatility is expected to remain elevated due to ongoing geopolitical tensions, developments related to tariffs, and the unfolding Q4 earnings season. This week’s crucial US economic releases, including ADP Nonfarm Employment Change, Nonfarm Payrolls, and Unemployment Rate, will be closely watched and are likely to drive market sentiment.
Published on April 28, 2025
