The Indian stock market recovered all morning losses to close in the green on Thursday, with Sensex and Nifty extending gains for the fifth consecutive session despite a hawkish Fed dampening sentiment briefly. Sensex rose 254 points to close at 77,410, while Nifty 50 gained 82 points to end the session at 24,168. Broader markets also extended gains, with Nifty Midcap 100 and Nifty Smallcap 100 indices gaining up to 0.5%.
Here's how analysts read the market pulse
The domestic equities traded within a range, maintaining a positive bias as the initial optimism surrounding the US–Iran peace deal was tempered by hawkish remarks from the US Fed, said Vinod Nair, Head of Research at Geojit Investments.
“Energy-driven inflationary pressures may prompt central banks to consider rate hikes in the latter half of the year, leading investors to adopt a cautious stance. However, the sustained decline in crude oil prices and moderation in Indian bond yields could offset inflationary concerns in the second half of FY27, with market participants awaiting further clarity on the peace agreement. Banking stocks outperformed, supported by expectations of strong credit growth and the sector's attractive valuations,” he further said.
US Stocks
U.S. stocks rebounded on Thursday with semiconductor shares leading gains as optimism about a Middle East peace deal offset worries about a hawkish Federal Reserve under new Chair Kevin Warsh.
Intel's shares jumped nearly 8% to hit a record high after U.S. President Donald Trump said Apple had agreed to work with the company to design and manufacture its chips in the United States.
The Philadelphia SE Semiconductor index hit a record high and was last up 6.3%, while the S&P 500 tech index rose 2.5%
Meanwhile, the United States and Iran released the text of a signed interim agreement that extends the April ceasefire by another 60 days to allow the two sides to reach a final deal. Oil prices slid almost 3% to their lowest since the first trading day of the Iran war, keeping alive hopes that inflation could be tamed without hiking interest rates.
European markets
European stocks were torn on Thursday between concern about the rising chances of a U.S. rate hike this year after the Federal Reserve's meeting and optimism over the reopening of the Strait of Hormuz.
The pan-European STOXX 600 index slipped 0.22% to 637.93 points by 0915 GMT, with basic resources leading declines, down 1.8%.
Tech view
The Nifty closed above its previous swing high, indicating an improving sentiment, said Rupak De, Senior Technical Analyst at LKP Securities. He added that overall, the outlook remains positive, with the index sustaining above its critical moving averages and the RSI in a bullish crossover.
“However, we need to remain cautious as the Nifty has rallied nearly 1,000 points in just six sessions. While this does not necessarily indicate a reversal, a phase of consolidation in the near term looks quite possible before the next directional move. The Nifty may spend the next few sessions oscillating within the 23,800–24,200 range. However, a decisive move above 24,200 might induce the next leg of the rally, potentially taking the index towards higher levels. On the downside, support is placed at 24,000, followed by 23,800, while resistance is placed at 24,200 and 24,500,” according to the analyst.
Most active stocks in terms of turnover
HDFC Bank (Rs 3,308 crore), IFCI (Rs 2,702 crore), Reliance Industries (Rs 2,057 crore), Infosys (Rs 1,897 crore), BSE (Rs 1,868 crore), Netweb Tech (Rs 1,845 crore), and ICICI Bank (Rs 1,806 crore) were among the most active stocks on NSE in value terms. Higher activity in a counter in value terms can help identify the counters with the highest trading turnovers in the day.
Most active stocks in volume terms
Vodafone Idea (Traded shares: 34.35 crore), IFCI (Traded shares: 31.24 crore), Yes Bank (Traded shares: 23.26 crore), New India Assurance (Traded shares: 8.61 crore), Suzlon Energy (Traded shares: 8.23 crore), Ola Electric (Traded shares: 7.34 crore) and IDBI Bank (Traded shares: 6.11 crore) were among the most actively traded stocks in volume terms on NSE.
Stocks showing buying interest
Bata India, KPR Mill, Welspun India, Redington, New India Assurance, Five-Star Business Finance and Olectra Greentech were among the stocks that witnessed strong buying interest from market participants.
52-week high
Among the ones which hit their 52-week highs on NSE included Welspun India, ABSL AMC, Nykaa, Vardhman Textiles, Carborundum, R R Kabel and Syrma SGS Technology.
Stocks seeing selling pressure
Stocks which witnessed significant selling pressure were IFCI, IDBI Bank, Inox India, Elecon Engineering, Chennai Petroleum Corporation, Jindal Stainless and Suven Pharma.
52-week low
Among the ones that hit their 52-week lows on NSE included Bharti Hexacom.
Sentiment meter favours bulls
Out of the 3,384 stocks that traded on the NSE on June 18, Thursday, 1,897 stocks witnessed advances, 1,382 saw declines while 105 stocks remained unchanged.
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)
