Mumbai: As the world anxiously awaits the results of the closely contested US presidential election, the Indian stock market opened on a positive note on Wednesday, indicating a potential reversal in the downward trend that has plagued it in recent days. The benchmark Sensex surged to 80,087.35, gaining 610 points or 0.77 percent, while the Nifty approached 24,393.40, marking an increase of 180 points or 0.74 percent. The positive market sentiment was bolstered by significant buying activity across various sectors, including realty, media, energy, private banking, and infrastructure. According to the National Stock Exchange (NSE), 1,820 stocks were trading in the green, contrasted with 449 stocks in the red, reinforcing the upbeat market trend.
The Nifty Bank index also saw a modest rise, reaching 52,289.75 after adding 82.50 points or 0.16 percent. Additionally, the Nifty Midcap 100 index climbed to 56,589.90, gaining 474.45 points or 0.85 percent, while the Nifty Smallcap 100 index moved up to 18,651.70, reflecting an increase of 148.25 points or 0.80 percent. Leading the Sensex pack were major gainers like HCL Tech, ICICI Bank, Infosys, Bajaj Finserv, Bajaj Finance, Tech Mahindra, Maruti, Sun Pharma, and Axis Bank. In contrast, Titan, Tata Steel, Hindustan Unilever Limited, Kotak Mahindra Bank, Tata Motors, and SBI were among the top laggards.
Market experts expressed optimism about the sharp rebound, suggesting it could signify an end to the recent negative sentiment. "The fact that the rebound is being led by fairly-valued and fundamentally strong large banking stocks is significant and points to the possibility of the continuation of this trend," they noted. They also emphasized that the noise surrounding the US elections would likely be short-lived, with economic fundamentals ultimately guiding the direction of the market. In broader Asian markets, indexes in Jakarta, Shanghai, and Tokyo were trading positively, while Seoul, Bangkok, and Hong Kong faced declines in early trading.
Meanwhile, the US stock market concluded its last trading day in the green ahead of the much-anticipated election outcomes. In India, foreign institutional investors (FIIs) sold equities worth Rs 2,569 crore on November 5, while domestic institutional investors countered this with purchases amounting to Rs 3,030 crore, reflecting a dynamic shift in market participation. As the US election outcomes unfold, all eyes will remain on the Indian stock market to see how it navigates the evolving financial landscape.