Indian equities rebound on broad buying despite global tech sell-off and oil risks
Indian benchmark indices posted broad-based gains of over 1% to generate nearly ₹3 trillion in investor wealth, demonstrating resilient domestic demand that shrugged off global technology sell-offs and rising crude prices.
The BSE Sensex and Nifty 50 both climbed more than 1% on Wednesday, adding nearly ₹3 trillion to investor wealth. The benchmark indices closed at 77,654.60 and 24,250.20 respectively. This domestic outperformance occurred even as regional peers retreated amid escalating West Asian geopolitical tensions and climbing oil prices.
Buying interest was widespread, with 2,130 stocks advancing against 1,183 decliners. The Nifty IT and Nifty Metal indices both gained over 2.3%, leading the recovery. This contrasted with broader regional trends where investors exited technology names over artificial intelligence return concerns.
Heavyweights including Infosys, Tata Steel, and Hindustan Unilever led the advance, with some stocks climbing as much as 5%. FMCG, Pharma, and Consumer Durables also posted solid sectoral gains between 1.4% and 1.6%. Conversely, Auto and Realty were the only segments to end the session in the red.
Technical charts show the Nifty 50 reclaiming its 21-day moving average to form a bullish candlestick. Momentum indicators suggest improving sentiment, with the Relative Strength Index rising to 56.11. The index must sustain above 24,400 to confirm a breakout from recent consolidation and target the 24,500 to 24,600 range.
Failure to hold 23,600 would expose the broader market to further downside toward the 23,300 level. The Nifty Bank index closed higher at 57,205.90, gaining 0.79% after finding support near its intraday low. The financial gauge remains below its 21-day and 200-day moving averages, indicating a mixed technical structure.
Immediate resistance for the banking gauge sits near the 10-day moving average at 57,334. Stronger support is established around the 50-day moving average at 56,486. Sustaining above this 50-day line is crucial to favor a gradual recovery rather than a broader corrective trend.
Advisory notes highlighted fresh buy recommendations for the near term. PNGS Reva Diamond Jewellery was given a target price of ₹550, citing its asset-light retail expansion and focus on studded jewellery. The stock was flagged with a buy range of ₹443 to ₹449 and a stop loss of ₹414.
Metropolis Healthcare was also recommended with a target of ₹665, pointing to its extensive laboratory network. Trading at a price-to-earnings ratio of 61.28, it was given a buy range of ₹587 to ₹596 with a stop loss of ₹560.
