The Indian market ended higher on Wednesday, led by gains in auto and financial stocks, as softer U.S. retail inflation bolstered bets on a Federal Reserve rate cut in September and signs of easing domestic price pressures lifted investor sentiment.
The benchmark BSE Sensex rose 0.38% or 304.32 points to close at 80,565 and the broader NSE Nifty 50 index closed at 24,619.35, higher by 0.54% or 131.95 points.
Here’s how analysts read the market pulse:Indian equities experienced a broad-based optimism as CPI hit an eight-year low, boosting hopes for a revival in discretionary spending, led by autos and metals, said Vinod Nair, Head of Research, Geojit Investments , adding that midcaps outperformed, reflecting strong investor appetite.
“Globally, sentiment improved on the extension of China’s tariff deadline and easing oil prices. Despite uncertainties around Trump’s trade stance and global risks, India’s growth-inflation dynamics remain favourable for FY26 with risk to marginal downgrade based on tariff updates. India looks forward to the Trump – Putin meet dated 15th August,” said Nair.
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US marketsThe benchmark S&P 500 and the Nasdaq hit record highs on Wednesday, underpinned by gains in megacap companies as investors were increasingly confident that the Federal Reserve could restart its monetary policy easing cycle next month.Signs that U.S. tariffs on imports have not fully filtered into headline consumer pricescame as a relief for investors this week as they scour for insights on the impact trade uncertainty has had on the economy.Despite data showing underlying price pressures were on the rise, markets also factored in recent weakness in the job market and a shake-up at the Federal Reserve as they leaned in favor of a potential dovish move by the central bank in September.European MarketsEuropean markets rallied Wednesday as the Stoxx Europe 600 climbed 0.4%, hitting its highest level since late July, buoyed by expectations of a U.S. rate cut following soft inflation data.
Technology and defence sectors led gains, with Germany’s Rheinmetall rising nearly 3% and Renk jumping over 5% on strong earnings and higher defence spending.
Tech ViewThe Nifty remained strong throughout the day after initial hours of uncertainty, closing at a multi-day high and signaling improved sentiment amid tariff-related concerns, said Rupak De, Senior Technical Analyst at LKP Securities, adding that the daily RSI has recently entered a positive crossover and continues to hold this momentum after several days of indecision.
“With sentiment showing signs of improvement, the likelihood of the Nifty moving above the 24,700 resistance has increased. A decisive move above this level could trigger a rally towards 25,200 in the short term. On the lower side, support is placed at 24,337, below which the dynamics would once again turn in favor of the bears,” said De.
Most active stocks in terms of turnoverPayTM (Rs 2,219 crore), Apollo Hospital (Rs 1,762 crore), JM Financial (Rs 1,683 crore), Infosys (Rs 1,473 crore), HDFC Bank (Rs 1,342 crore), BSE (Rs 1,329 crore) and ICICI Bank (Rs 1,280 crore) were among the most active stocks on BSE in value terms. Higher activity in a counter in value terms can help identify the counters with highest trading turnovers in the day.Most active stocks in volume termsVodafone Idea (Traded shares: 47.03 crore), Suzlon Energy (Traded shares: 17.31 crore), Ola Electric Mobility (Traded shares: 10.66 crore), NMDC Steel (Traded shares: 9.67 crore), JM Financial (Traded shares: 9.24 crore), FSN E-Comm (Nykaa) (Traded shares: 4.52 crore) and YES Bank (Traded shares: 3.77 crore) were among the most actively traded stocks in volume terms on NSE.Stocks showing buying interestShares of NMDC Steel, JM Financial, EIH, HBL Power, Apollo Hospital, Godrej Industries and GSK Pharma were among the stocks that witnessed strong buying interest from market participants.
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52 Week highOver 109 stocks hit their 52 week highs today while 104 stocks slipped to their 52-week lows. Stocks seeing selling pressureStocks which witnessed significant selling pressure were Coromandel International, PG Electroplast, Waaree Energies, SJVN, DB Realty, Suzlon Energy and Oil India. Sentiment meter bullishThe market sentiments were bullish. Out of the 4,246 stocks that traded on the BSE on Wednesday, 1,864 stocks witnessed declines, 2,230 saw advances, while 152 stocks remained unchanged.
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