Sensex gains 328 pts, Nifty tops 25,250; what’s next for stock market?

Domestic equity markets extended their winning streak for the second straight session on Friday, with both the Sensex and Nifty closing higher, lifted by renewed foreign investor interest and optimism around India–US trade negotiations.

At the closing bell, the Sensex rose 328.72 points, or 0.40 per cent, to close at 82,500.82, while the Nifty50 gained 103.55 points, or 0.41 per cent, to settle at 25,285.35. The 50-pack index remained strong as it broke out of the recent consolidation range, said Rupak De, Senior Technical Analyst at LKP Securities.

“The trend continues to stay positive as it is sustaining above critical moving average. The setup looks favorable for a further rise in the short term. Any dip would provide a good opportunity to enter long trades,” De said. 

“On the higher end, the Nifty may move towards 25,500–25,550, while on the lower end, support is placed at 25,150. A fall below 25,150 could weaken the trend slightly," De added.

State Bank of India (SBI) emerged as the top gainer on the Sensex, rising 2.16 per cent to Rs 880.75. Maruti Suzuki followed with a 1.72 per cent rise, while Axis Bank, NTPC, BEL and Adani Ports gained 1.25 per cent, 1.07 per cent, 0.94 per cent, and 0.90 per cent, respectively.

Five stocks, namely, SBI, HDFC Bank, Axis Bank, Maruti Suzuki and ICICI Bank, contributed heavily to the Sensex’s rise.

Among sectoral indices, the BSE Bankex index jumped 0.97 per cent to 63,872.58, while the BSE Auto index rose 0.49 per cent to 59,626.26.

Within the BSE Sensex pack, Eternal and SBI hit fresh 52-week highs at Rs 349.90 and Rs 883.70, respectively.

Overall, out of 4,343 actively traded stocks on the BSE, 2,489 ended higher, while 1,688 declined and 166 closed unchanged. During the session, 171 stocks scaled their 52-week highs, whereas 105 slipped to 52-week lows. Meanwhile, 253 scrips were locked in their upper circuits and 146 in lower circuits.

Vinod Nair, Head of Research at Geojit Financial Services, said investor sentiment improved after the government’s decision to invite private sector professionals to lead the State Bank of India. This marks a broader policy shift towards allowing private participation in public sector enterprises, aimed at enhancing efficiency and governance,” he said. 

“Pharma stocks rallied as the US revived the Biosecure Act, aiming to cut biotech ties with flagged foreign firms, especially from China, providing a strong boost to Indian CDMOs. With the earnings season underway, investors are closely watching quarterly results for cues on market direction," Nair said.

Ajit Mishra, SVP – Research, Religare Broking Ltd, said the markets have resumed their upward trajectory after a brief consolidation phase. “Following a mildly positive start, the Nifty built on early momentum, supported by sustained strength in select heavyweights, particularly from the banking space,” he said.

“However, a minor pullback in the final hour trimmed part of the gains, and the index eventually settled at 25,286. Sectoral performance was mixed—realty, pharma, and banking led the advance, while metal and IT ended on a subdued note. The broader indices moved largely in tandem, adding around half a percent each, reflecting healthy market participation,” Mishra said.

“The up move was supported by a blend of domestic and global factors. Investor sentiment received a boost from TCS’s AI infrastructure expansion and the continued strength in banking majors, which offset weak cues from Asian markets and overnight declines on Wall Street,” Mishra added.