Sensex, Nifty trim gains after hitting new 52-week highs; profit-taking, Trump tariff remarks weigh

Indian equity indices BSE Sensex and NSE Nifty 50 eased on Monday afternoon after hitting fresh 52-week highs, as investors booked profits at elevated levels. Sentiment was also cautious following comments from US President Donald Trump on imposing “massive” tariffs on India over Russian oil imports.

At close of Monday’s trading, the Sensex was up about 411 points, or 0.5 percent, at 84,363.4, while the Nifty rose 133 points to 25,843.1. Both indices had earlier touched 52-week highs, extending last week’s rally driven by strong Q2 earnings from heavyweights like Reliance Industries and HDFC Bank, before giving up part of their gains.

Heavyweights lead gains throughout the session

Reliance Industries, Bajaj Finserv, and SBI stocks were among the top gainers for the day, rising 2-4 percent each.

HDFC Bank shares climbed to a fresh 52-week high in early trading, extending a four-day rally, buoyed by better-than-expected earnings and optimism over improving margins. HDFC Bank stock later gave up the gains to end marginally up at Rs 1,004.

• Also read | Reliance Industries' share price jumps 3.5% after strong Q2 results

Reliance stock surged as much as 3.6 percent after posting a 14.3 percent rise in quarterly profit to Rs 22,092 crore, led by strength across its oil-to-chemicals, retail, and digital businesses. Brokerages, including Nomura, Morgan Stanley, and Kotak, reiterated positive views on the conglomerate’s diversified earnings profile.

Banks extend rally; ICICI slips

Banking stocks outperformed, lifting the Bank Nifty to a record high of 58,242.50. AU Small Finance Bank rallied nearly 8 percent after reporting steady NII growth, while Federal Bank and IDFC First Bank rose about 7 percent each on strong Q2 showings.

Among large lenders, PNB, Axis Bank, and Canara Bank gained over 2 percent each, while ICICI Bank fell more than 2 percent after reporting moderate loan growth. HDFC Bank stock also slipped into red later in the trade.

The broader market remained positive with 2,382 shares advancing against 1,695 declining. The Nifty PSU Bank index jumped nearly 3 percent, leading sectoral gainers, followed by Oil & Gas and Infrastructure indices.

Global cues, technical view

Early optimism was supported by firm global markets and a dip in Brent crude to around USD 61 per barrel, easing inflation concerns. The rupee also strengthened to a month’s high of 87.88 against the US dollar.

Analysts, however, cautioned that the Nifty faces a resistance zone near 25,900. Anand James of Geojit Investments said, “If the index fails to sustain above 26,018, volatility could increase. Immediate support is seen near 25,630.”

Top gainers and losers

Top gainers on the Nifty: Cipla (+4.2%), Reliance (+3.6%), Shriram Finance (+2.5%), Bajaj Finserv (+2.8%), Axis Bank (+2.1%).

Top losers: ICICI Bank (-3%), JSW Steel (-1.4%), Eternal (-1.2%), M&M (-1.3%), Adani Ports (-1%).

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