Mumbai: The Indian equity markets opened on a positive note Wednesday as retail inflation dropped to a multi-year low and recent geo-political tensions between India and Pakistan eased following the success of Operation Sindoor.
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At 9:25 am, the Sensex surged 414 points (0.51%) to 81,562, while the Nifty gained 136 points (0.55%) to 24,712, signaling investor optimism across sectors.
Midcap and Smallcap Indices Rally Strong
Bullish sentiment extended beyond blue-chip stocks as midcap and smallcap indices showed significant gains:
- Nifty Midcap 100: Up 510 points (0.92%) at 56,030
- Nifty Smallcap 100: Up 132 points (0.78%) at 17,035
Sectoral Gains Across the Board
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All sectoral indices were trading in the green, led by:
- Auto
- IT
- PSU Banks
- FMCG
- Metals
- Energy
- Infra
- Public Sector Enterprises (PSE)
Key Gainers and Losers in Sensex Pack
Major Gainers:
- Tata Steel
- Bharti Airtel
- Tech Mahindra
- Infosys
- HCL Tech
- M&M
- Bajaj Finserv
- L&T
- TCS
- SBI
- NTPC
Top Losers:
- Tata Motors
- Asian Paints
- IndusInd Bank
- HUL
- Nestle
- Kotak Mahindra Bank
Technical Outlook: Nifty Support and Resistance Levels
According to Hardik Matalia of Choice Broking, the Nifty index may find support at:
- 24,500
- 24,400
- 24,300
Immediate resistance levels are expected at:
- 24,700
- 24,800
- 24,850
April Inflation Hits Lowest Since 2019
India’s retail inflation dropped to 3.16% in April, down from 3.34% in March—marking the lowest level since July 2019.
“Crude oil prices have eased sharply, food inflation is under control, and domestic demand is soft. We expect the RBI to cut interest rates aggressively going forward,” said Devarsh Vakil, Head of Prime Research at HDFC Securities.
Global Market Trends Remain Mixed
- Asian Markets: Hong Kong, Shanghai, Seoul, and Jakarta opened in the green. Japan and Bangkok traded in the red.
- US Markets: Mixed performance. The Dow Jones closed lower, while Nasdaq rose for a second consecutive day after softer-than-expected inflation data.
FIIs Continue to Sell, DIIs Remain Net Buyers
- Foreign Institutional Investors (FIIs) sold equities worth ₹476 crore on May 13.
- Domestic Institutional Investors (DIIs) continued their buying streak, investing ₹4,273 crore.