NewKerala.com

Sensex, Nifty End Higher Amid Election Results Volatility

Indian equity benchmarks ended higher on Monday amid election results volatility. The Sensex rose 356 points to 77,269 while the Nifty gained 122 points to 24,119. Adani Ports led gainers while IT and banking stocks weighed on sentiment. Broader markets outperformed as realty and metal stocks led sectoral gains.

Key Points: Sensex, Nifty Rise 0.5% on Election Day Volatility

  • Sensex rose 356 points to 77,269
  • Nifty gained 122 points to 24,119
  • Adani Ports, HUL lead gains; Bharti Airtel, Kotak lag
  • Realty, metal stocks outperform IT, PSU banking
2 min read

Sensex, Nifty end higher amid election results volatility

Indian benchmarks Sensex and Nifty closed higher on Monday, paring early gains as IT and banking stocks weighed amid election result volatility.

"Strong put writing at the 24,000 and 23,800 levels indicates firm near-term support, while heavy call writing at 24,200-24,300 continues to cap the upside. - Analyst"

Mumbai, May 4

Indian equity benchmarks ended higher on Monday but pared early gains to close off the day's highs, as weakness in IT and banking stocks weighed on sentiment amid volatility linked to ongoing election results.

The Sensex rose 356 points, or 0.46 per cent, to settle at 77,269.40, while the Nifty gained 121.75 points, or 0.51 per cent, to close at 24,119.30.

Commenting on Nifty technical outlook, experts said that from a derivatives perspective, the structure remains clearly defined.

"Strong put writing at the 24,000 and 23,800 levels indicates firm near-term support, while heavy call writing at 24,200-24,300 continues to cap the upside," an analyst stated.

Adani Ports led the gainer pack on Sensex followed by Hindustan Unilever, Eternal and Maruti Suzuki India.

On the other hand, Bharti Airtel, Kotak Mahindra Bank, TCS, IndiGO, ITC and Infosys were among the top losers on the same index.

Broader markets outperformed the frontline indices, with the Nifty MidCap and Nifty SmallCap indices rising 0.63 per cent and 0.70 per cent, respectively.

On the sectoral front, realty and metal stocks led the gains, while IT and PSU banking stocks lagged behind, capping the upside in benchmark indices.

Meanwhile, global cues remained mixed as oil prices saw a sharp decline during the session.

Brent crude dropped as much as 2.45 per cent after US President Donald Trump announced 'Operation Freedom', aimed at ensuring safe passage for stranded ships in the Strait of Hormuz.

The May contract of Brent crude was last seen trading 0.39 per cent lower at $107.75 per barrel on the Intercontinental Exchange.

Analysts said markets may continue to remain volatile in the near term as investors react to evolving political developments and global macroeconomic cues.

"Going forward, the market is likely to remain range-bound with a buy on dips, sell on rise approach dominating in the near term," a market expert mentioned.

"Investor sentiment remained supported by a favourable election outcome in West Bengal and a better-than-expected Q4 earnings, helping markets look past Middle East-related concerns," as per the analyst.

- IANS

Share this article:

Reader Comments

M
Michael C
"Buy on dips, sell on rise" - that's been the strategy for months. The election outcome in West Bengal seems to be providing some support but Middle East tensions are a concern. Oil prices dropping helps India though. Volatility will continue for another week.
K
Kavya N
As a retail investor, this volatility scares me. But experts say long-term still good. IT stocks are struggling though - TCS and Infosys falling doesn't feel right. Maybe time to shift to metals and realty? 🤔
J
Jessica F
Brent crude dropping due to 'Operation Freedom' in Strait of Hormuz is interesting. For India, lower oil = lower inflation = good for markets. But election uncertainty and global cues mixed - I'd say hold some cash for now. Better to wait for clarity.
S
Swati Y
Look at Adani Ports leading gains and Bharti Airtel among losers - classic sector rotation happening. Midcap and smallcap outperforming large caps shows there's money chasing growth stories. But this range-bound market is frustrating for traders. Need something to break this consolidation.
V
Vishal D
Honestly, every election season markets go through this. The put writing at 24000 is a strong signal that downside is limited. But the call writing at 24200-24300 means we're stuck in a 400-point range. For small investors, stick to SIPs and don't try to time this.

We welcome thoughtful discussions from our readers. Please keep comments respectful and on-topic.

Leave a Comment

Minimum 50 characters 0/50