Indian Stock Market Closes Higher as HMPV Concerns Ease

The Indian stock market ended in the green on Tuesday, with domestic benchmark indices showing positive movement amid subsiding fears surrounding the Human Metapneumovirus (HMPV) outbreak. The market gained momentum after increased surveillance and clarity around HMPV, alongside positive global cues.

Sensex and Nifty Close in the Green

The BSE Sensex finished the day at 78,199.11, up by 234.12 points, or 0.30%, while the Nifty closed at 23,707.90, gaining 91.85 points, or 0.39%.

The Nifty Bank index rose by 280.15 points, ending at 50,202.15, or a 0.56% increase. The Nifty Midcap 100 index also saw a boost, rising by 502.35 points (0.89%), while the Nifty Smallcap 100 index surged by 248.20 points (1.35%) to settle at 18,673.45.

On the Bombay Stock Exchange (BSE), 2,627 stocks ended higher, while 1,356 stocks closed lower, and 103 remained unchanged.

Market Outlook and Sectoral Performance

Market experts noted that the positive global cues and decreasing fears regarding HMPV helped the market recover from the previous day’s sharp sell-off. However, traders remain cautious ahead of India’s first advance estimates for FY25 GDP. Analysts suggest that the market will continue to be cautious in the short term, as investors await earnings recovery during the upcoming results season.

The Nifty sectoral indices showed mixed performance. The metal, media, energy, commodities, PSU banks, financial services, pharma, and FMCG sectors were among the top gainers, while the auto, IT, and consumption sectors faced declines.

Top Gainers and Losers in the Sensex Pack

Tata Motors, ICICI Bank, Asian Paints, Nestle India, UltraTech Cement, L&T, Adani Ports, Tata Steel, IndusInd Bank, Titan, Hindustan Unilever, Sun Pharma, and SBI emerged as the top gainers in the Sensex pack. On the other hand, Zomato, HCL Tech, TCS, Tech Mahindra, Kotak Mahindra Bank, Infosys, and Bajaj Finserv were among the top losers.

Also Read: Indian Stock Market Opens Higher: Nifty Crosses 23,700 in Early Trade

Foreign and Domestic Institutional Investor Activity

Foreign Institutional Investors (FIIs) sold equities worth Rs 2,575.06 crore on January 6, while Domestic Institutional Investors (DIIs) bought equities worth Rs 5,749.65 crore on the same day.

Experts advise investors to monitor market conditions closely, as the market is approaching critical support and resistance levels. A cautious stance is recommended as the market navigates the current economic conditions, including strengthening US dollar, rising US bond yields, and reduced expectations of further rate cuts.

Conclusion

Despite a cautious outlook in the near term, the Indian stock market showed resilience, ending higher on the back of positive global cues and easing fears around HMPV. Investors should stay alert for upcoming earnings results and monitor the evolving market conditions closely in the coming sessions.