Stock markets staged a recovery on Thursday, bouncing back from early losses with a boost from IT stocks and a swift rupee revival following initial jitters linked to global tensions.
At 3:02 pm, the BSE Sensex was trading at 73,215.15, up by 80.83 points or 0.11%. The index indicated a closing figure of 73,177.32, displaying a gain of 43 points or 0.06%.
The Nifty 50 stood at 22,670.30, down a mere 9.10 points or 0.04%, after a rebound from substantial intraday declines. Throughout the session, the index fluctuated between a high of 22,706.65 and a low of 22,182.55.
Earlier in the day, both Sensex and Nifty had plummeted nearly 2% in response to remarks from US President Donald Trump, who warned of severe actions against Iran. This drop had sparked concerns of a deeper correction, which eased as the day progressed.
The recovery was largely attributed to the significant strengthening of the Indian rupee. Surging almost 2% to 92.94 against the US dollar, the currency’s climb was supported by measures from the central bank to deter speculation, boosting investor confidence and aiding equities.
IT stocks spearheaded the market’s upturn, with the Nifty IT index surging approximately 2.4% as investors positioned themselves ahead of forthcoming quarterly earnings. Notable gains were seen in HCLTech, Tech Mahindra, Infosys, and TCS among Sensex stocks, contributing to the market’s recovery.
While certain stocks such as Maruti, Titan, Bajaj Finance, HDFC Bank, Trent, BEL, IndiGo, and Axis Bank witnessed gains, others like Asian Paints, Eternal, Sun Pharma, NTPC, Reliance, Power Grid, Bajaj Finserv, Ultratech Cement, M&M, and Adani Ports faced downward pressure.
Despite the rebound, the overall market trend remained subdued, with benchmark indices down about 0.6% for the week and set for the sixth consecutive week of losses. Most sectors stayed in negative territory during the session, indicating a lack of broad-based recovery.
The market’s attempt to stabilize post the sharp decline suggests ongoing volatility, with global events, particularly concerning the Iran conflict, currency movements, and impending earnings reports expected to influence market direction in the immediate future.