Stock market today: Sensex, Nifty 50 end week on a positive note; pharma, banking, auto stocks shine | Stock Market News

Stock market today: The Indian stock market benchmarks – the Sensex and the Nifty 50 – ended with gains on Friday, December 27, led by banking and auto heavyweights such as Mahindra and Mahindra, IndusInd Bank and Tata Motors.

On a weekly scale, both key indices turned green, ending nearly 1 per cent higher during the holiday-truncated week ended December 27. In contrast, they had plunged 5 per cent the previous week.

The domestic market witnessed low volatility in the absence of fresh triggers and traded on a positive note throughout the session on value-buying in select heavyweights.

The Sensex opened at 78,607.62 against its previous close of 78,472.48 and touched its intraday high and low of 79,043.15 and 78,598.55, respectively. The index finally closed at 78,699.07, up 227 points, or 0.29 per cent.

Shares of Mahindra and Mahindra (M&M), IndusInd Bank, Bajaj Finance and Tata Motors emerged as the top index gainers, rising 1-2 per cent. ICICI Bank, HDFC Bank, Infosys and Reliance Industries were the top contributors in the Sensex index.

The Nifty 50 opened at 23,801.40 against its previous close of 23,750.20 and touched its intraday high and low of 23,938.85 and 23,800.60, respectively. The index settled 63 points, or 0.27 per cent, higher at 23,813.40.

Amid a lack of fresh triggers, the volatility index, India VIX, declined nearly 6 per cent on Friday, reflecting investors’ anticipation of a stable market in the short term.

The BSE Midcap index underperformed the Sensex, ending 0.08 per cent lower. However, the BSE Smallcap index climbed 0.28 per cent, in line with the BSE benchmark.

Sectoral indices today

The Nifty Pharma index rose 1.30 per cent, while the Nifty Auto index added a per cent. Nifty Bank climbed 0.27 per cent while the Private Bank index gained 0.49 per cent. However, the PSU Bank index fell 0.89 per cent. Nifty Metal, Oil and Gas and Realty indices declined up to a per cent.

Indian stock market outlook

Prashanth Tapse, senior VP of research at Mehta Equities, pointed out that despite ending higher for the second straight session, markets lacked conviction as indices came off their early highs amid late profit-taking in several sectoral stocks.

“The mood remains that of caution as foreign investors have not softened their stance on Indian equities with the rupee’s record fall against the dollar continuing to create uncertainty amongst the investors,” said Tapse.

According to Amol Athawale, VP of technical research at Kotak Securities, a small inside body candle appeared on the weekly charts, and the non-directional activity on the daily and intraday charts indicates indecisiveness between the bulls and the bears.

“For positional traders, the 200-day SMA or 23,860 will be a key breakout level. If the market moves above this level, it could bounce back to 24,000. Further upside may also continue, potentially lifting the index to 24,240. Conversely, if it falls below 23,650, the sentiment could change, and the market might slip to 23,500-23,450,” said Athawale.

Ajit Mishra, the SVP of research at Religare Broking, said the markets continue to face resistance on the upside, reinforcing negative outlook on the index.

However, Mishra underscored that individual stocks are presenting opportunities on both sides, driven by noticeable strength in defensive sectors like pharma and healthcare, as well as a rebound in select heavyweights from other sectors.

“We maintain our view to stay stock-specific and hold positions on both sides,” said Mishra.

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