Did Indian Stock Market Close Higher With Defence Sector Resilience?

Mumbai, May 14 (NationPress) The Indian stock markets concluded Wednesday’s trading session on a robust note, buoyed by advancements in metal, real estate, and technology shares.

A notable highlight was the persistent strength in domestic defence stocks, which have experienced upward momentum for three consecutive sessions. This sector displayed remarkable resilience, reflecting consistent buying interest from investors.

Despite some intraday volatility, the investor sentiment remained optimistic, allowing benchmark indices to close in the positive territory.

By the end of the trading day, the Sensex had risen by 182 points or 0.22 percent, reaching a closing figure of 81,330.56.

In a similar vein, the Nifty saw an increase of 88 points, or 0.36 percent, wrapping up at 24,666.

Experts noted that within the Nifty, key option levels indicate 25,000 and 25,500 as significant call resistances, while 24,000 and 24,500 act as put supports.

The put-call ratio (PCR) of 0.72 reveals a mildly bearish trend, according to Sundar Kewat from Ashika Institutional Equity.

On the 30-share index, Tata Steel emerged as the top gainer with a 3.88 percent increase, trailed by Eternal (2.18 percent), Tech Mahindra (2.02 percent), Maruti Suzuki India (1.66 percent), and several others.

Conversely, the largest decline was recorded by Asian Paints, which fell by 1.78 percent, concluding the day at Rs 2,283.65.

Other significant losers included Tata Motors, down by 1.26 percent, and Kotak Mahindra Bank, which dropped by 1.11 percent.

The broader markets outperformed the main indices, with the Nifty Midcap 100 climbing 1.13 percent and the Nifty Smallcap 100 advancing 1.36 percent, reflecting strong investor interest in mid- and small-cap stocks.

Adding to the positive market sentiment was the recent data on India's retail inflation, which eased to its slowest rate in over six years in April.

This decrease was primarily attributed to lower food prices, bolstering expectations for a possible rate cut by the Reserve Bank of India (RBI).

Global factors also played a supportive role, as softer-than-anticipated US consumer inflation data alleviated concerns over inflationary pressures and raised hopes that the Federal Reserve might adopt a more accommodative approach going forward.

With both domestic and international factors aligning favorably, market analysts believe that investor confidence is likely to remain robust in the near future.

In the words of Dilip Parmar from HDFC Securities, “The retreat in crude oil prices and the overall weakening of the greenback acted as tailwinds, particularly supporting the local currency during intraday trading.”