Benchmark indices opened higher on Tuesday morning, with the 50 starting at 25,073.60 from its previous close of 25,069.20 and trading at 25,151.00, up 81.80 points or 0.33 per cent, at 9.55 a.m. The opened at 81,852.11 against its previous close of 81,785.74 and was at 82,075.70, higher by 289.96 points or 0.35 per cent, as banking stocks led the recovery, reversing Monday’s decline.
emerged as the top gainer on the Nifty 50, surging 1.25 per cent to ₹1,995.50, followed by which climbed 1.21 per cent to ₹335.10. gained 1.14 per cent to ₹1,117.00, while Mahindra & Mahindra rose 1.05 per cent to ₹3,567.30 and Adani Ports advanced 0.96 per cent to ₹1,408.60.
On the declining side, led the losers, falling 0.45 per cent to ₹1,207.00, matched by Asian Paints which dropped 0.45 per cent to ₹2,491.40. Titan Company declined 0.39 per cent to ₹3,520.30, HDFC Life slipped 0.27 per cent to ₹775.10, and Hindalco shed 0.09 per cent to ₹753.00.
“It is important to understand that the underperformance of the Indian market during the last one year is mainly due to the poor earnings growth and high valuations,” said Dr. VK Vijayakumar, Chief Investment Strategist at Geojit Investments Limited. “A sustained rally is possible only when these fundamental factors change.”
The technical outlook suggests cautious optimism with key resistance and support levels being closely watched. “From a technical standpoint, a sustained move above the 25,160 level could pave the way for a rally toward 25,250 and 25,500,” noted Amruta Shinde, Technical & Derivative Analyst at Choice Equity Broking Private Limited. “On the downside, immediate support lies at 25,000 and 24,900.”
continued their selling streak, offloading equities worth ₹1,268.6 crore on September 15, while domestic institutional investors provided support with net purchases of ₹1,933.3 crore on the same day, highlighting the divergent sentiment between foreign and local investors.
Banking stocks showed resilience with Bank Nifty displaying rangebound movement. “A decisive break below the key support of 54,800 may drag the index toward 54,670 and 54,500,” Shinde added. “However, if these supports hold, a reversal could provide fresh buying opportunities.”
The broader market sentiment remains influenced by global developments, particularly expectations around US policy decisions. “The bold reforms – both fiscal and monetary – that have been implemented this year have started yielding results and this trend is likely to gather momentum, going forward,” Vijayakumar explained.
In commodity markets, crude oil futures traded higher on escalating Russia-Ukraine tensions. November Brent oil futures rose 0.21 per cent to $67.58, while WTI October futures gained 0.25 per cent to $63.46. On the , September crude oil futures advanced 0.11 per cent to ₹5,593.
Gold prices surged to record highs as the US Dollar weakened. “Gold prices surged to another record high as the US Dollar dropped to its lowest level in seven weeks,” said Darshan Desai, CEO of Aspect Bullion & Refinery. “Any short-term dip may present a buying opportunity, as lower prices could offer an attractive long-term entry point.”
Market experts remain cautious about small-cap valuations despite the overall positive sentiment. “Retail investors chasing highly valued smallcaps are taking unnecessary risks,” Vijayakumar warned. “This price-agnostic behaviour is irrational and is unlikely to fetch decent returns in the long run.”
Asian markets traded mixed in early sessions, while US markets ended higher on Monday with the Dow Jones gaining 0.11 per cent, S&P 500 advancing 0.47 per cent, and Nasdaq surging 0.94 per cent, providing a supportive backdrop for emerging market equities.