Indian Markets Rebound After Two-Day Slump; PSU Banks & Realty Stocks Lead Gains

Indian stock markets closed higher on Monday after two consecutive sessions of losses, ending a volatile day on a positive note.

Strong buying in real estate and state-owned banks helped the indices recover early losses and finish in the green.

The Sensex opened lower but rebounded sharply, touching an intraday high of 84,127 before closing 39.78 points or 0.05 per cent higher at 83,978.49. The Nifty 50 also gained 41.25 points or 0.16 per cent, settling at 25,763.35.

Analysts observed that the Nifty traded between 25,700 and 25,800, showing resilience after briefly dipping below the October 24 low of 25,718.

They noted that the 25,660-25,700 range once again acted as a strong demand zone.

This range helped the index recover its intraday losses. It also allowed the market to maintain a constructive outlook ahead of key global data releases.

Maruti Suzuki dropped over 3 per cent and emerged as one of the top Sensex losers.

Titan Company, BEL, TCS and ITC also declined during the session.

NTPC, Bajaj Finserv, Tata Steel, and Tech Mahindra joined the list of major laggards. Mahindra & Mahindra led the list of gainers. State Bank of India, Tata Motors Passenger Vehicles and HCL Tech also posted strong gains. These stocks supported the market’s late recovery.

The Nifty MidCap index climbed 0.77 per cent in the broader market. The Nifty SmallCap index advanced 0.72 per cent during the session. Both indices showed strength beyond the frontline stock

Sectorally, PSU bank shares spearheaded the rally, with the Nifty PSU Bank index surging 1.92 per cent.

Bank of Baroda rose 5 per cent, while Canara Bank, Bank of Maharashtra, Bank of India and Indian Bank also posted strong gains.

The Nifty Metal and Realty indices added up to 2 per cent each, while FMCG, Private Bank and IT indices slipped up to 0.4 per cent, limiting overall gains.

Market analysts stated that selective buying and sectoral rotation helped offset cautious sentiment caused by mixed global cues. They further added that the broader market outperformed during the session.

Investors positioned themselves for short- to medium-term gains. They based their strategy on the momentum from quarterly earnings.

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