Tech stocks propel markets higher amid cautious trading sentiment
Equity markets showed moderate gains during mid-day trading on Thursday, with technology stocks providing crucial support amid ongoing foreign institutional investor (FII) selling pressures. The Sensex advanced 257.16 points, or 0.34 per cent, climbing to 76,662.15, while the Nifty 50 index gained 92.35 points, representing a 0.4 per cent increase to 23,247.70.
Technology counters emerged as primary market drivers, with Wipro leading the pack by surging 4.38 per cent and Tech Mahindra gaining 1.78 per cent. These gains were partially attributed to renewed investor optimism surrounding potential technology infrastructure developments, including recent discussions about U.S. technological investments.
Market breadth indicated a positive undertone, with advances outnumbering declines. Out of 3,942 stocks traded on the Bombay Stock Exchange, 2,232 advanced while 1,551 declined. The market also witnessed 70 stocks hitting 52-week highs and 73 touching 52-week lows, reflecting a mixed trading environment.
Sectoral performance revealed nuanced trends. The Nifty Next 50 index rose 0.97 per cent to 63,477.50, while the Nifty Midcap Select index demonstrated stronger momentum, climbing 2.41 per cent to 12,205.10. However, banking indices showed modest pressure, with the Nifty Bank index marginally declining 0.10 per cent to 48,674.10.
Top gainers included UltraTech Cement, which appreciated 1.94 per cent, and Mahindra & Mahindra, up 1.36 per cent. Conversely, heavyweight stocks like Hindustan Unilever witnessed a 1.74 per cent decline, and Axis Bank dropped 0.96 per cent.
Analysts continue to monitor key technical levels, with the 23,000 mark considered a critical support zone for the Nifty. Market participants remain cautiously positioned ahead of upcoming quarterly earnings announcements and the imminent Union Budget presentation.
Broader market indicators suggest selective investment strategies, with investors navigating between technology-driven opportunities and potential economic policy implications. The afternoon trading session reflects a balanced approach, balancing optimism with prudent risk management.
