Stock Market Today: Gift Nifty holds above 25,000; IT stocks shine, auto sector cools off

On Thursday morning, Gift Nifty was trading with a strong positive bias, up nearly 134 points, comfortably holding above the 25,000 mark. Asian markets showed mixed trends with a slightly positive tilt, while the Dow Jones futures were up 54 points ahead of the U.S. market opening.

On Wednesday, despite trading above 25,100 in the morning session, Nifty eventually closed at 24,973, unable to hold the crucial 25,000 level. The Bank Nifty settled at 39,320 points, adding momentum to the market.

Market Trend: Range-bound with profit booking

Recent trading sessions have shown a pattern where markets remain positive till around midday, followed by mild profit booking towards the close. Analysts believe the market is not turning negative but is also not closing near the day’s highs, indicating a range-bound action.

The Put-Call Ratio (PCR) has also inched higher from 1.08 to 1.15, suggesting mild bullish sentiment, though sharp moves remain absent as India VIX slipped further to 10.54, signaling low volatility.

Top F&O Gainers

Bharat Electronics: +4.5%
Wipro: +2.5%
HCL Technologies: +2.5%
HDFC Life: +2%

Experts highlight that IT stocks, despite being overlooked in recent times, remain highly cash-rich, adaptable, and capable of reforming quickly in a changing global business environment.

Top F&O Losers

Siemens: -2.5%
Maruti Suzuki: -1.5%
Bajaj Auto: -0.5%
Hero MotoCorp: marginal decline

The auto sector cooled off after a sharp rally driven by GST reduction expectations. Analysts caution that while lower taxes are positive, sales growth may not match the rapid price rally seen in recent weeks.

Commodities Update

Gold continued its gradual rise, touching 1,12,870.00 Indian Rupee
Silver crossed ₹1,25,000 per kg.
Crude oil and natural gas remained soft, a positive sign for India’s economy.

Institutional Flow

FIIs (Foreign Institutional Investors): Net sellers of ₹116 crore.
DIIs (Domestic Institutional Investors): Strong buyers worth ₹5,000 crore.

Corporate & IPO Highlights

Fundraising buzz: Teg Industries to discuss fund-raising in its September 13 board meeting; Five Star Business looking at a ₹4,000 crore fundraise.
IPO activity:
- Urban Company subscribed 3.13x on Day 1.
- Dev Accelerator subscribed 5.33x.
- Shringar House subscribed 2.01x.
  Strong listing gains are expected in Dev Accelerator and Urban Company.
Kotak Mahindra Bank: 1.62% stake sold by an FII, picked up by marquee investors including Goldman Sachs, Abu Dhabi Investment Authority, BlackRock, and Indian mutual funds.
HCG Healthcare Global: 5.69% stake sold, bought by leading domestic and foreign funds.
BSE shares slipped after a decline in active clients reported by discount brokers, raising concerns over future F&O revenue volumes.

Sector Developments

Biocon inaugurated its first U.S. manufacturing facility in New Jersey, signaling a trend of Indian pharma companies shifting production closer to the U.S. market.
MMTC’s production up 9% YoY in August.
KDS Consumers announced a ₹250 crore capex for a new facility in Indonesia.
Highway Infrastructure won two toll plaza projects worth ₹89 crore in Uttar Pradesh and Rajasthan.

Technical Outlook

Nifty 50: Immediate support at 24,800, strong resistance at 25,200. A breakout above 25,200 could trigger fresh momentum.
Bank Nifty: Closed above 54,500; key resistances remain in focus.

Outlook

The Indian stock market continues to trade in a narrow range with mild positivity, supported by domestic buying and stable global cues. While IT and FMCG look resilient, autos may see some consolidation after a sharp rally.