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Stock Market Recovers After Massive Sell-Off: What Helped Investors Earn Rs 5 Lakh Crore Today?

The Indian stock market recovered on Thursday after heavy selling pressure a day ago, with investors returning to sectors such as real estate, banking, health care and consumer stocks. The recovery helped not. . .

By Priyanka Roshan · · 5 min read

Stock Market Recovers After Massive Sell-Off: What Helped Investors Earn Rs 5 Lakh Crore Today?

The Indian stock market recovered on Thursday after heavy selling pressure a day ago, with investors returning to sectors such as real estate, banking, health care and consumer stocks. The recovery helped not only the benchmark indices but also added over Rs 5 lakh crore to the wealth of investors in a single session. Sentiment improved after geopolitics eased, following US President Donald Trump’s announcement of a ceasefire. Renewed hopes on the economic front in India also aided buying. You Might Be Interested InThe BSE Sensex gained 278. 54 points or 0. 36 per cent to end at 76,782. 14. The NSE Nifty 50 ended 90. 60 points higher or 0. 38 per cent higher at 23,972. 65. Both benchmarks scaled fresh intraday highs at 76,831. 36 and 23,998. 70, respectively, in early trade. Most indices were in the green during the session. But a few investors took advantage of the intraday jump and sold to book some profits in the last hour. However, the Sensex and Nifty are managing to stay above critical levels even with these profit-booking activities. Mid- and small-cap stocks also joined the rally. The Nifty Midcap 100 index climbed 1. 4 per cent and the Nifty Smallcap 100 index advanced 1. 8 per cent. Investor Wealth Jumps By More Than Rs 5 Lakh CroreThursday’s rally recovered a significant portion of the wealth lost in the previous session. The total market cap of listed companies on the BSE reached Rs 476. 4 lakh crore, up from Rs 471. 2 lakh crore on Friday. Or, in other words, the shares of most of the sectors rose, which put more than Rs 5 lakh crore in investors’ pockets. Rebound Led By Realty SharesReal estate companies led the way, but buying was broad-based. The realty index climbed 3. 54%, the best among sectors in trading today. Media stocks were up 2. 09%, Consumer Durables rose 1. 68%, PSU Banks were up 1. 62%, Healthcare was up around 1%Auto and IT were the only major sectors to finish the day lower. Why Did The Market Bounce Back?Easing global tensions, besides improving confidence in India’s growth story, helped the recovery, analysts think. According to SBI Securities, the latest assessment by the International Monetary Fund (IMF) has given investors confidence that India continues to be one of the fastest-growing large economies despite an uncertain global backdrop. “Market recovery was largely supported by the IMF’s latest assessment that India remains among the fastest-growing major economies despite a challenging global environment. While the IMF marginally lowered its FY27 growth forecast to 6. 4% from 6. 5% earlier, the resilience of domestic demand, strength in services activity and an upgrade to its FY28 growth outlook (from 6. 5% to 6. 7%) reinforced confidence in India’s medium-term growth trajectory,” SBI Securities said. The IMF said better-than-expected economic data and strong high-frequency indicators pointed to the country’s growth momentum continuing to remain healthy, according to SBI Securities. Analysts See Positive Market StructureMarket experts said Thursday’s gains helped restore confidence after Wednesday’s sharp decline. “Indian equity markets ended higher in today’s session, extending their positive momentum as buying interest emerged across key sectors. The benchmark indices managed to close above important support levels, keeping the broader market structure positive,” said Riyank Arora, associate vice president – HNI & Derivatives at Hedged. in. “Immediate support is placed around 76,500-76,300, while resistance is seen near 76,900-77,100. A breakout above this range could strengthen the ongoing bullish trend,” he added. Reflecting his broader view on market outlook, Arora said, “The market continues to display resilience despite intermittent volatility. As long as benchmark indices hold above their key support levels, the broader outlook remains constructive. Traders may continue to adopt a buy-on-dips strategy while maintaining disciplined risk management. ”Global Cues Continue To Remain MixedAsian markets ended mixed. Japan’s Nikkei 225 gained nearly 2% and Singapore’s Straits Times Index was up more than 1%. Meanwhile, GIFT Nifty also traded higher, suggesting stable sentiment for Indian equities. Yet global caution was reflected in the declines of Hong Kong’s Hang Seng index and Taiwan’s weighted index during the trading session. Meanwhile, Brent oil was fetching USD 78. 10 a barrel in the commodities space, and gold rose amid investors’ caution about geopolitics. US futures were mixed, with Dow Jones futures drifting lower and Nasdaq futures marginally rising. What Should Investors Be Looking At Now?The recovery on Thursday helped calm nerves after the previous session’s sharp decline, but market experts say volatility could continue for the near term. Investors should be closely watching global developments, crude oil prices, corporate earnings and upcoming economic data. Market sentiment has improved for now as the Sensex and Nifty managed to hold above key support levels. The global cues are still supportive and the domestic fundamentals are still strong, which means the recovery can continue in the coming sessions. (Disclaimer: This article is for informational purposes only and should not be considered investment advice. The views, opinions, and recommendations expressed herein are those of the respective experts. Readers are advised to consult a qualified financial advisor before making any investment decisions. )Also Read:Will Airfares Get Cheaper? Airlines Seek 5% GST on Jet Fuel with Full Tax Credit to Cut CostsPriyanka Roshan is a business writer and assistant editor at the NewsX website who tracks everything from stock market swings and corporate earnings to personal finance trends and policy shifts. Known for turning fast-moving business developments into sharp, reader-friendly stories, she combines speed, accuracy, and a data-driven approach to break down complex financial news for everyday audiences. With over 9. 5 years of newsroom experience, Priyanka has worked with leading media organisations, including Moneycontrol, Times Now, and Ping Digital, covering diverse beats such as business, politics, technology, auto, travel, sports, and the world. From live breaking news desks to SEO-led digital storytelling, she specialises in creating engaging content that keeps readers informed without overwhelming them. You may also like----------------------------------------------------------------------------------------------

Source: newsx.com

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