Markets made a remarkable recovery on Tuesday, closing nearly flat after opening sharply lower in response to weak global cues. The Sensex ended the day down by 12.85 points or 0.02 per cent at 74,102.32, while the Nifty managed to close in positive territory, gaining 37.60 points or 0.17 per cent to finish at 22,497.90.
IndusInd Bank was in focus as its shares plummeted 27.06 per cent to a 52-week low of ₹656.80 after revealing discrepancies of ₹15.3 billion in its derivatives portfolio. This represents about 2.35 per cent of its net worth and analysts expect it to result in a loss of around ₹1,500 crore in Q4FY25, impacting the bank’s profitability and credibility.
Despite the shaky start, the Nifty showed resilience throughout the session and erased losses. Retail stocks led the gainers, with Trent surging 4.13 per cent to ₹4,998. Other notable performers included BPCL, Sun Pharma, BEL, and ICICI Bank.
Apart from IndusInd Bank, other losers included Infosys, Bajaj Finserv, M&M, and Power Grid. The market breadth remained negative with more stocks declining than advancing on the BSE.
Sectoral performance was mixed, with the realty index being the top performer, rallying 3.75 per cent. The Nifty Midcap Select and Nifty Financial Services also posted gains, while the Nifty Bank fell 0.75 per cent due to the selloff in IndusInd Bank.
The Indian rupee strengthened against the dollar, closing at 87.24. Gold prices continued to rise due to weak dollar index and economic uncertainty in the US. Globally, markets faced significant declines amid recession fears and trade tensions.
Technically, the market appears poised for potential upside with strong momentum indicators. Analysts believe the short-term outlook remains bullish as long as the market remains above certain levels.
Looking ahead, market participants are closely watching upcoming inflation data, which will be crucial for market sentiment. Overall, the market showed signs of recovery despite challenging global conditions.
