Image Source: Business Standard
The NSE Nifty 50 index ended the trading session on Wednesday, September 3, 2025, with a gain of 0.55%, rising by 135.45 points to close at 24,715.05. This marked a positive trading day buoyed by strong performances in metal stocks and auto sectors, underpinned by optimism ahead of the upcoming Goods and Services Tax (GST) Council meeting. The Indian stock market showed resilience amid choppy trade, reflecting investor confidence driven by anticipated policy easing and sectoral rallies.
Key Highlights from the Market Session
NSE Nifty 50 index closed 0.55% higher at 24,715.05 points, advancing 135.45 points.
BSE Sensex rose by 409.83 points to close at 80,567.71, up 0.51%.
Metal stocks led the gains with the Nifty Metal index surging 3.11%, the strongest sectoral performance.
Tata Steel was the top performer on the Sensex, jumping nearly 6%.
Auto stocks also saw a healthy rally with gains in Mahindra & Mahindra and Titan among others.
Consumer-related sectors such as discretionary, durables, and staples continued to outperform the broader market.
Investor sentiment was buoyed by expectations of GST rate cuts ahead of the festive season, potentially fueling consumption.
Midcap and smallcap indices also advanced, with Nifty Midcap 100 up 0.65% and Nifty Smallcap 100 gaining 0.89%.
India VIX, which measures market volatility, slipped sharply by 4.12%, indicating more stable market conditions.
Sectoral Performance and Stock Movers
The gains on Nifty 50 were broad-based but distinctly led by metals and autos. The Nifty Metal index outpaced the broader market by a wide margin, up over 3%, driven primarily by strong buying interest in major steel companies such as Tata Steel, Hindalco, and JSW Steel. Tata Steel specifically closed with an impressive gain close to 6%, lifting the overall metals sector sentiment.
Auto stocks contributed significantly to the rally with Mahindra & Mahindra and Titan among the notable gainers. Other consumer sectors also participated with stocks in staples and durables posting steady gains, reflecting growing optimism in consumption-driven stocks.
On the flip side, IT stocks saw some profit booking with the Nifty IT index slipping by 0.74%. Key IT players like Infosys declined by around 1.19%, indicating a cautious stance from investors on technology stocks despite the broader market gains.
Broader Market Indicators and Market Outlook
The rally was also supported by positive momentum in midcap and smallcap stocks, which typically reflect domestic economic trends more closely. The Midcap 100 and Smallcap 100 indices made solid gains, signaling broad investor participation beyond large-cap blue chips.
The downward movement in India VIX to below 15 reflects decreased market volatility and a more stable risk environment. This positive investor sentiment coincides with hopes pinned on the GST Council meeting outcomes, where potential rate rationalisation and tax relief could further boost economic activity and market confidence.
Experts note that while expectations for a consumption-led stimulus via GST rate cuts are high, there is a risk of market consolidation if results fall short of investor hopes. The market showed resilience today but remains sensitive to policy developments in the near term.
Summary of Key Market Data
Nifty 50 Index: 24,715.05 (+0.55%)
Sensex: 80,567.71 (+0.51%)
Nifty Metal: +3.11%
Nifty Pharma: +1.10%
Nifty PSU Bank: +1.03%
Nifty IT: -0.74%
India VIX: down 4.12%
Top Gainer: Tata Steel (+5.90%)
Top Losers: Infosys (-1.19%), NTPC (-0.55%)
In conclusion, the Indian equity markets closed the day on a positive note with the Nifty 50 index gaining more than half a percent, led by a strong rally in metal and auto sectors and fueled by consumption optimism ahead of the GST Council meet. Investors will be keenly watching the policy decisions in the coming days, as they hold the key to sustained market momentum.
Source: Reuters via Economic Times, India Today, Business Today, NSE India
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