Indian equity benchmarks started the day on a positive note, mirroring gains in global markets amid easing geopolitical worries. Early trading saw the Sensex rise by approximately 40 points, while the Nifty traded above the 25,300 level.
At 9:30 IST, the S&P BSE Sensex increased by 117.31 points, or 0.14%, reaching 82,424.68. The Nifty 50 index also saw a gain of 24.30 points, or 0.10%, trading at 25,331.60.
The broader market reflected this positive sentiment, with the S&P BSE Mid-Cap index up by 0.30% and the S&P BSE Small-Cap index rising by 0.01%. Market breadth was positive, with 1,569 shares rising and 1,270 shares falling on the BSE.
Global cues also played a significant role in setting the tone for the Indian market. Asian markets traded higher, following an overnight rally on Wall Street driven by easing geopolitical tensions. Positive sentiment was further boosted by the U.S. revising its Q3 GDP higher to 4.40%.
On Thursday, the Indian stock market reversed its three-session losing streak, spurred by positive global cues and optimism surrounding potential India-U.S. trade deals. The Sensex closed up 397.74 points, or 0.49%, at 82,307.37, and the Nifty gained 132.40 points, or 0.53%, to close at 25,289.90.
Vinod Nair, Head of Research at Geojit Investments Limited, noted that the domestic market rebounded amid relief over U.S. President Donald Trump's remarks on tariffs and Greenland at the Davos meeting. However, caution remained due to the weakening rupee and continuous outflows from foreign institutional investors.
Derivatives data indicated heavy Call writing at the 25,400 strike and significant Put writing at the 25,200 strike, establishing this zone as a crucial near-term pivot.
From the Sensex pack, key gainers included Tata Steel, Bajaj Finserv, and ICICI Bank. Conversely, IndusInd Bank and ITC were among the laggards.
Several analysts have shared their perspectives on the market's trajectory. Technical analysts suggest that the Nifty 50 faces selling pressure at higher levels and requires a decisive close above 25,300 to trigger further upward momentum towards the 25,450-25,500 target zone. Jay Mehta from JM Financial Services pointed out that the Nifty broke down from a 650-point range recently, correcting before finding support near 24,900.
The market will be closely watching U.S. GDP and core inflation data, along with the Bank of Japan's policy decision, for further direction.
