Sensex, Nifty Extend Gains on Optimism Over India-US Trade Talks

Sensex, Nifty Extend Gains on Optimism Over India-US Trade Talks

Benchmark equity indices ended Wednesday’s session on a positive note as optimism over ongoing trade negotiations between India and the United States bolstered investor sentiment. The S&P BSE Sensex rose 313.02 points to close at 82,693.71, while the NSE Nifty50 added 91.25 points to finish at 25,330.25. Midcap and smallcap indices also recorded gains, reflecting broad-based market support.

Ajit Mishra, SVP – Research at Religare Broking, noted that the market showed a “positive yet cautious undertone,” with IT, banking, and auto stocks leading gains, while metals, FMCG, and pharma witnessed profit-taking. He added that domestic reforms and robust local fund flows continue to support sentiment, even as foreign investor selling and global uncertainty limit sharp rallies. Mishra sees the Nifty moving towards the 25,500 mark, advising a “buy on dips” approach with support between 25,050 and 25,150.

Brokerages observed steady trading, with Ashika Institutional Equities noting that Nifty remained within a narrow 40-point band despite a strong opening. Sectoral buying was prominent in PSU banks, automobiles, IT, and oil & gas, while metals and consumer sectors underperformed. In the derivatives market, activity was seen in counters like Persistent Systems, Dalmia Bharat, Amber Enterprises, MCX, and Tata Chemicals.

Analysts emphasized that markets remain sensitive to external cues, including the U.S. Federal Reserve’s policy stance and developments in India-US tariff discussions. While sentiment is expected to stay constructive, caution is likely until clarity emerges.

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