Nifty stuck in slow lane even as Sensex rallies 450 pts. How long can this divergence last?

Sensex and Nifty continued to diverge on Wednesday, with the Sensex gaining over 450 points while Nifty remained largely flat. The divergence comes amid caution following the introduction of the Closing Auction Session (CAS), which triggered sharp volatility in Nifty during Monday’s final minutes. Markets were also reacting to the RBI’s decision to keep the repo rate unchanged.