Sensex Gains 200 Points, Nifty Holds Above 24,600; Defence and PSU Banks Lead

Indian equities traded with a mild positive bias on Thursday, although gains remained uneven across the market. Around 2:00 pm IST, the BSE Sensex was trading at 78,783.77, up 202.77 points or 0.25 per cent. The Nifty 50 hovered near 24,641.30, gaining 16.65 points or around 0.07 per cent. Optimism around easing Middle East tensions and stock-specific earnings action supported sentiment, but weakness in autos and technology stocks capped the upside.

The broader market presented a mixed picture. Nifty Bank advanced 0.44 per cent to 57,992.40, supported by buying in PSU and select private banks. Nifty Smallcap 100 outperformed with a gain of 0.48 per cent to 19,879.20, while Nifty Midcap 100 slipped 0.23 per cent to 63,460.15. This showed that buying interest remained stronger in pockets of the Small-Cap universe rather than being broad-based.

Sectorally, Nifty India Defence was the standout performer, gaining around 2.91 per cent, followed by Nifty PSU Bank at 1.55 per cent and Nifty Oil & Gas at 0.74 per cent. Defence stocks received support from strength in Hindustan Aeronautics, while PSU banking counters also attracted buying interest. On the other hand, Nifty Auto declined 1.08 per cent, Nifty Realty fell 0.95 per cent and Nifty IT was down 0.60 per cent as traders booked profits in recently outperforming pockets.

Stock-specific action remained strong. Allcargo Logistics rallied around 18 per cent after its Q1 profit jumped 258 per cent year-on-year to Rs 31 crore. Navin Fluorine surged around 11 per cent after its quarterly profit more than doubled. Hindustan Aeronautics gained over 6 per cent after its annual report highlighted an FY26 Order Book of Rs 2.55 lakh crore, providing revenue visibility for seven to eight years. Sterlite Technologies also gained around 4 per cent after securing an international order worth Rs 1,760 crore.

On the institutional front, final data for Thursday will be available only after market hours. In the latest available provisional figures for August 5, FIIs sold Indian equities worth Rs 943.42 crore, while DIIs remained net buyers to the tune of Rs 2,883.17 crore.

Global cues were mixed. The MSCI Asia Pacific Index fell 1.2 per cent and Hong Kong’s Hang Seng declined 1.8 per cent. Japan’s Nikkei ended 0.9 per cent lower at 65,683.26 as technology stocks tracked weakness in their Wall Street counterparts. Lower crude oil prices amid renewed hopes of easing Middle East tensions provided some support to Indian sentiment.

Going ahead, the 24,775 to 24,800 zone remains the immediate hurdle for the Nifty, while 24,550 is an important near-term level to watch on the downside. Investors will also track ongoing Q1 earnings, crude oil movements and the market’s response to the RBI’s decision to keep the repo rate unchanged at 5.25 per cent.

Market participants may continue to see stock-specific moves as earnings season progresses, with index direction likely to depend on whether the Nifty can sustain above its immediate resistance zone.

Disclaimer: The article is for informational purposes only and not investment advice.