displayed remarkable resilience on Tuesday, bouncing back sharply from intraday lows to close near session highs, even as suffered its worst single-day decline in months after revising its growth outlook downward.
The climbed 335.97 points, or 0.40 per cent, to settle at 83,871.32, while the gained 120.60 points, or 0.47 per cent, ending at 25,694.95 after sliding to an intraday low of 25,449 in early trade.
The session’s biggest casualty was Bajaj Finance, which plunged 7.00 per cent to ₹1,009.10 after the non-banking finance company cut its assets under management (AUM) growth guidance to 22-23 per cent from 24-25 per cent and reported higher non-performing assets.
Bajaj Finserv followed suit, declining 5.92 per cent to ₹1,992.90, making the duo the worst performers on the Nifty. “Though profit grew 22 per cent YoY, investors stayed cautious due to rising credit costs and concerns over consumer leverage,” said Abhinav Tiwari, Research Analyst at Bonanza.
On the gainers’ front, InterGlobe Aviation (IndiGo) led the pack with a 3.55 per cent surge to ₹5,787.00, followed by Bharat Electronics Limited, which advanced 2.39 per cent to ₹426.80. Mahindra & Mahindra climbed 2.22 per cent to ₹3,745.10, while Adani Ports gained 2.02 per cent to ₹1,474.10 and HCL Technologies rose 2.01 per cent to ₹1,571.50.
Sectoral performance remained mixed, with the Nifty IT and Nifty Auto indices outperforming, gaining approximately 1 per cent each.
The Nifty Metal index added 0.7 per cent, while the Nifty Bank rose 0.35 per cent to 58,138.15. However, the Nifty PSU Bank and Nifty Realty indices declined marginally by 0.3 per cent and 0.16 per cent, respectively.
The broader Nifty Midcap 100 index outshone frontline indices with a 0.50 per cent gain to 60,427.00, though the Nifty Smallcap 100 underperformed, slipping 0.21 per cent to 18,101.40.
“The Nifty witnessed a volatile trading session on the weekly expiry day. It opened on a weaker note and slipped to an intraday low of 25,449 in the first half, reflecting cautious sentiment. However, the second half saw a sharp rebound, driven by renewed buying interest,” noted Sudeep Shah, Head of Technical and Derivatives Research at SBI Securities.
Market breadth remained balanced with 1,898 stocks advancing against 2,294 declining on the BSE, while 110 stocks hit 52-week highs and 172 touched 52-week lows.
The recovery was supported by positive global cues after the U.S. Senate approved a bill to end the federal government shutdown, restoring policy stability.
“The domestic market opened on a subdued note amid concerns over potential implications of the Delhi explosion. However, it recovered smartly and closed at the day’s high, supported by global cues,” said Vinod Nair, Head of Research at Geojit Investments Limited.
against the U.S. dollar, buoyed by optimism surrounding potential trade negotiations.
“Rupee traded strong, supported by positive cues on the U.S.-India trade deal after the U.S. President’s remarks hinting at a mutually beneficial agreement between both nations,” explained Jateen Trivedi, VP Research Analyst at LKP Securities, adding that the rupee is expected to trade between 88.25-88.85.
Analysts maintained a constructive outlook for the near term. “Technically, the zone of 25,600–25,560 is expected to act as a crucial support area. As long as the index sustains above this support zone, the upward momentum is likely to continue, with potential upside targets placed at 25,850, followed by the psychological mark of 26,000,” Shah added.
Looking ahead, market participants will closely monitor the upcoming domestic inflation data, with expectations of continued moderation in food prices potentially paving the way for further policy easing by the Reserve Bank of India.
“Investors are now awaiting the upcoming domestic inflation data, with expectations of continued moderation due to a steady decline in food prices—raising prospects of further policy easing by the RBI,” Nair stated, adding that “earnings are expected to witness a robust rebound in the third quarter, underpinned by multiple domestic tailwinds.”