Sensex, Nifty Trade Flat as IT Gains Offset Weakness in Banks and Realty

Indian benchmark indices remained rangebound in Thursday’s morning session as gains in technology and automobile stocks were offset by selling in Banking, realty and select consumption counters. At around 11:40 am, the Sensex was trading 76.92 points, or 0.10 per cent, higher at 77,731.52. The Nifty 50 was up 19.65 points, or 0.08 per cent, at 24,269.85.

The broader market remained weaker than the headline indices. The Nifty Midcap 100 and Nifty Smallcap 100 were down around 0.4 per cent each, showing that selling pressure was more visible beyond large caps. Nifty Bank declined around 0.5 per cent as AU Small Finance Bank, IDFC First Bank, Axis Bank and ICICI Bank traded lower. Market breadth was also negative, with 2,040 stocks declining against 1,505 advancing by 11:25 am.

Sectorally, Nifty IT was the strongest performer, rising 1.38 per cent. Wipro, Tech Mahindra, Infosys and HCL Technologies supported the index as investors continued to reassess the impact of artificial intelligence disruption on Indian IT services companies. Nifty Auto gained 0.81 per cent, while Nifty Oil and Gas advanced 0.59 per cent.

On the losing side, Nifty Realty dropped 1.14 per cent, with Prestige Estates, Godrej Properties and DLF among the major drags. Banking, private banking, PSU banking and media indices also traded under pressure as investors booked profits following Wednesday’s sharp recovery.

Among individual stocks, Wipro climbed 2.78 per cent and led the Nifty gainers as buying continued across IT counters. Balkrishna Industries jumped over 8 per cent, making it one of the strongest midcap performers. In contrast, Dabur India fell around 3.7 per cent despite reporting profit growth, as analysts highlighted weak underlying growth and limited near-term earnings triggers. Prestige Estates declined nearly 2.9 per cent after its June-quarter profit fell 19.4 per cent, even as revenue increased 15.9 per cent. Eicher Motors gained close to 0.9 per cent after quarterly earnings came slightly ahead of estimates and the company approved capacity-expansion spending.

Institutional flows provided a supportive backdrop. In Wednesday’s cash-market session, foreign institutional investors were net buyers of Rs 2,981.87 crore, while domestic institutional investors purchased shares worth a net Rs 998.02 crore. The combined institutional inflow stood at Rs 3,979.89 crore.

Global cues remained mixed after the US Federal Reserve kept its benchmark interest rate unchanged but maintained a firm stance on controlling inflation. Wall Street and the US Dollar Index slipped overnight, while Asian markets traded without a clear direction. Brent crude declined 1.3 per cent after surging 7.9 per cent in the previous session, offering some relief to oil-importing economies such as India.

For the remainder of the session, traders will watch whether the Nifty can sustain above 24,250 and challenge the 24,400 resistance zone. Immediate support is placed between 24,100 and 24,000. Corporate earnings, crude oil movements and the RBI policy meeting scheduled for next week are likely to guide the next directional move.

This remains a Market commentary based on Intraday developments, and prices may change during the session.

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