Taking Stock | Market ends the week with gains as Nifty closes at 24,850 level, Sensex gains 1%

Taking Stock | Markets end the week with gains as Nifty closes at 24,850 level, Sensex gains 1%

After a rough start to the week, the Indian benchmark indices ended the May 23 session on a positive note. Analysts continue to remain bullish as Nifty closed near the 24,850 mark.

At close, the Sensex was up 769.09 points or 0.95 percent at 81,721.08, and the Nifty was up 243.45 points or 0.99 percent at 24,853.15.

About 2238 shares advanced, 1557 shares declined, and 152 shares unchanged while India VIX stood at 0.06%.

ITC, Power Grid, Bajaj Finserv, Jio Financial, and HDFC Life were among the top gainers on the Nifty, while Sun Pharma, Grasim, and a few others ended in the red.

The BSE Midcap index was up 0.50 percent, while the Smallcap index ended with a 0.45 percent gain.

Sector-wise, most indices ended in red with Consumer Durable (-1.9%), IT (-0.9%), Auto (-1.7%), FMCG (-0.8%), Oil and gas (-0.6%) and Power (-0.2%) sectors as major sectoral losers.

While sectors including Capital goods (+0.5%), Real Estate (+2.4%) and Metal (+0.6%) reported gains for the week. Bank Nifty ended flat. ower, metal, telecom, pharma, realty, consumer durables down 0.5-2 percent.

The Nifty-50 Index and Sensex each lost around 0.75% in the past week. While midcap (-0.45%) and small cap (+1%) index outperformed during the same period.

Within the Nifty, BEL (+5.9%), HDFC Life (+3.9%) and Tata Steel (+3.4)  gained the most, while Grasim (-4.6%), M&M (-3.9%) and Maruti Suzuki (-3.9%) lost the most.

Global markets

Global equities traded cautiously on Friday as investors weighed the impact of rising U.S. Treasury yields and fresh concerns over fiscal stability following a U.S. credit downgrade.

U.S. stock futures were little changed in early trade. Futures tied to the Dow Jones Industrial Average edged down 18 points, while S&P 500 and Nasdaq 100 futures hovered near flatline. The muted sentiment followed a recent move by Moody’s to downgrade the United States’ sovereign credit rating from Aaa to Aa1, citing the government’s widening fiscal deficit and growing debt rollover costs.

In Europe, markets managed to reverse early losses to end Thursday in positive territory. The pan-European Stoxx 600 rose 0.56%, while Germany’s DAX gained 0.72%, supported by strength in defence stocks. Hensoldt surged 8.3% after Germany’s new defence minister voiced support for Donald Trump’s proposal urging NATO members to allocate 5% of GDP to defence, a potential boost for the sector.

Across the Asia-Pacific region, markets showed a mixed performance as investors digested regional economic data. Japan’s Nikkei 225 advanced 0.47% to 37,160.47, and the broader Topix climbed 0.68%. South Korea’s Kospi ended flat, while the tech-heavy Kosdaq dipped 0.24%. Australia’s ASX 200 posted a modest gain of 0.15%, but Chinese markets remained lacklustre with the Hang Seng Index and the CSI 300 trading sideways.

Investor sentiment globally remained fragile, with markets reacting to a combination of fiscal uncertainty in developed economies and mixed signals from China’s economic data. Optimism around a potential easing of U.S. tariffs helped temper some of the caution, but overall trading remained subdued as investors look for clearer cues.

Outlook for May 26

Vikram Kasat, Head - Advisory, PL Capital, said that the focus in the coming week will be on global market signals, U.S. economic data, and India’s upcoming GDP release. With steady corporate earnings and positive domestic flows, the market could maintain its upward bias, though some consolidation cannot be ruled out. External developments and liquidity trends will likely guide near-term moves.”

Bulls seems to have a sharp comeback in the market, noted Nagaraj Shetti, Senior Technical Research Analyst at HDFC Securities. He further adds that Nifty, having formed a higher bottom at 24462 on 22nd May, one may expect further up move towards the next resistance zone of around 25100-25200 levels in the next week. Immediate support is placed at 24615 levels.