Stock Market LIVE Updates: GIFT Nifty indicates a strong opening; Asia trades higher, US markets mixed
Ajit Mishra – SVP, Research, Religare Broking
Markets staged a rebound on the weekly expiry day, rising nearly 0.5% after three consecutive sessions of decline. Following initial volatility, the Nifty gradually moved higher and closed near the day’s peak at 25,897. Most sectors participated in the rebound, with auto, metals and pharma leading the gains. The broader markets also saw relief, with both midcap and smallcap indices advancing close to 1%.
Buying across IT, auto, metals, realty and banking helped offset recent weakness, supported by a decline in India VIX and positive global cues after Wall Street strengthened post the Fed policy outcome. Meanwhile, steady domestic sentiment was reinforced by robust equity inflows of Rs 29,894 crore in November. However, continued weakness in rupee capped the momentum.
It may still be premature to celebrate this rebound. A sustained move above the first key hurdle—the 20-DEMA around 25,950—is essential to confirm further recovery; failure to do so could trigger renewed profit-taking. Participants should closely track the performance of banking and IT, which will be crucial for market direction. Global cues, especially from the US markets, will also remain influential.
On the sectoral front, several stocks within private banking, auto, metals and pharma continue to exhibit relative strength, while pockets of weakness in other sectors still offer opportunities on the short side. Traders should position selectively with a strong emphasis on risk management.
