Equity benchmarks closed with marginal gains on Thursday, paring back most of the intraday surges, with investor focus lingering on the quarterly results of IT giants TCS and Infosys.
The BSE Sensex, a 30-share index, eked out a 0.09% rise, adding 63.47 points to settle at 71,721.18. Earlier in the day, it had surged by 0.47% or 341.76 points, reaching 71,999.47. Meanwhile, the Nifty saw a modest gain of 0.13%, rising by 28.50 points to 21,647.20.
Major gainers among Sensex companies included Reliance Industries, UltraTech Cement, Axis Bank, IndusInd Bank, Power Grid, Tata Motors, Tech Mahindra, and Tata Consultancy Services. On the flip side, Infosys, Hindustan Unilever, Wipro, Larsen & Toubro, and Nestle were among the laggards.
Investors adopted a cautious stance as they awaited the release of US inflation data and domestic macroeconomic numbers. The global equities scenario was characterized by optimism pending clarification on the Federal Reserve's policy based on the US inflation figures, according to Deepak Jasani, Head of Retail Research at HDFC Securities.
In the broader market, the BSE smallcap index rose by 0.79%, and the midcap index recorded a 0.66% increase. Sector-wise, energy led the gains with a 1.57% surge, followed by a 1.05% rally in oil & gas, and 0.89% and 0.71% increases in consumer durables and consumer discretionary, respectively.
However, industrial, IT, services, realty, and capital goods indices experienced declines.
In Asia, Tokyo, Shanghai, and Hong Kong benchmarks closed higher, while Seoul's index ended lower. European markets showed positive trends, and the US markets closed in the green on the preceding day.
Anticipation of US inflation data and concerns about premium valuations amidst moderating Q3 corporate earnings prompted range-bound trade in the Indian market, according to Vinod Nair, Head of Research at Geojit Financial Services. Global oil benchmark Brent crude rose by 1.56% to reach USD 78 a barrel.
Foreign Institutional Investors (FIIs) were net sellers, offloading equities worth Rs 1,721.35 crore on Wednesday. The BSE benchmark had closed 0.38% higher at 71,657.71 on the same day, with the Nifty advancing by 0.34% to 21,618.70.
(With Agency Inputs)
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