Sensex Rises 200 Points, Nifty Nears 24,650 as IT and Auto Stocks Drive Gains; Mid and Smallcaps Shine

Markets bounced back on Wednesday morning, with the Sensex climbing nearly 200 points and the Nifty testing the 24,650 mark. This uptick snapped a three-day losing streak, thanks to strong performances in IT, auto, and metal stocks. Midcap and smallcap indices outperformed the broader market, continuing a trend seen earlier in the week.

 

By around 9:20 am, the Sensex was up about 198 points at 80,936, while the Nifty gained 62 points to reach 24,605. More than 1,400 stocks advanced, outpacing the 900 that declined. The India VIX, which measures market volatility, dropped over 2% to 16.21, suggesting that investors are feeling more confident.

 

The rally was supported by optimism over global trade talks, especially after positive signals from US-China negotiations. Gains in US tech stocks overnight also helped lift sentiment across Asian markets. Investors are now keeping a close eye on the Reserve Bank of India’s Monetary Policy Committee meeting, which began today. Most expect a 25 basis point rate cut to support growth, with the decision due on Friday.

 

Sector-wise, auto, IT, and metal stocks led the way. Nifty Auto rose 0.45%, while Nifty IT and Metal were also in the green. Notably, midcap and smallcap indices gained about half a percent each, outpacing the main benchmarks. Tata Motors opened higher, buoyed by a positive outlook from Nomura.

 

Overall, the mood in the market has turned positive, with hopes pinned on supportive policy moves and steady global cues.

 

Source: Moneycontrol, Business Standard, Economic Times