In a morning trading session characterized by cautious optimism, the stock markets exhibited resilience on Thursday, with benchmark indices showing slight gains despite ongoing global economic challenges and continuous foreign institutional investor (FII) selling.
The Sensex started at 76,414.52 and quickly rose to 76,524.96, marking a modest increase of 119.97 points or 0.16 percent. Similarly, the Nifty climbed 40.60 points (0.18 percent) to 23,195.95, reflecting a measured recovery from recent market volatility.
Tech stocks were the primary drivers of market momentum, with Wipro leading the way with a surge of 4.38 percent. Other notable performers in the tech sector included Tech Mahindra, which gained 1.78 percent, benefiting from renewed investor confidence following US President Donald Trump’s announcement of a $500 billion private-sector AI infrastructure initiative.
“The market found support near the 23,000 level, which is a crucial psychological threshold,” said Shrikant Chouhan, Head of Equity Research at Kotak Securities. “If the index sustains above this level, we might see a continued pullback formation.”
Sectoral performance in the morning trading session was mixed. While the IT index showed strong gains of over 2 percent, the realty sector experienced significant pressure, dropping 4.05 percent, highlighting the selective investment approach in the current market.
Foreign institutional investors continued their net selling trend, disposing of equities worth ₹4,026 crore on January 22. In contrast, domestic institutional investors showed confidence by purchasing equities worth ₹3,500 crore, providing a counterbalance to the foreign outflows.
Top gainers included UltraTech Cement (+1.94 percent), Trent (+1.84 percent), and Mahindra & Mahindra (+1.36 percent). On the other hand, Hindustan Unilever led the losers, declining 1.74 percent, followed by Axis Bank (-0.96 percent) and Nestlé India (-0.88 percent).
Market experts are cautious about the near-term outlook. “We could expect Nifty to find support between 23,050 and 22,950 and face resistance between 23,370 and 23,410 in the next session,” noted VLA Ambala, Co-Founder of Stock Market Today.
Global market conditions add complexity to the market sentiment. US markets reached record highs, with the Nasdaq Composite rising 1.3 percent and closing above the 20,000 mark. AI-related stocks like Arm, Microsoft, and Nvidia saw significant gains, reflecting growing technological optimism.
Upcoming events, including the Union Budget and various earnings announcements, are likely to introduce further volatility into the market. Companies like HDFC Bank, HUL, Pidilite, and BPCL are set to report their Q3 earnings, potentially influencing market dynamics.
Traders are advised to maintain a cautious approach, implement strict stop-loss strategies, and monitor key support and resistance levels. The market’s ability to sustain levels above 23,000 will be crucial in determining the short-term trend.
As the trading session unfolds, investors will closely monitor global cues, domestic economic indicators, and corporate earnings to navigate the current market environment.
