Domestic equity benchmarks traded higher on March 17, supported by buying in metal and auto stocks, while weakness in information technology shares limited gains and kept investor activity cautious.
The market opened on a positive note and maintained a firm tone through the session, aided by buying across multiple sectors. Gains in metal and auto stocks supported benchmark indices, while positive cues from Asian markets reinforced investor confidence.
Nifty trades above 23,500
During the session, the National Stock Exchange’s benchmark Nifty 50 traded higher, rising approximately 0.38 percent, or 90.42 points, to 23,503.95. The BSE Sensex also traded with gains, advancing about 280.68 points to 75,768.53.
IT sector emerges as weakest
The information technology sector remained under pressure, with declines recorded in several major stocks including Infosys, Wipro and HCL Tech. The weakness in these stocks weighed on the Nifty IT Index, making it the weakest-performing sector of the day.
Market experts attributed the pressure on IT companies to global economic uncertainty and volatility in overseas markets.
Midcap and smallcap segments recover
In the broader market, midcap and smallcap stocks showed mild strength after early declines. Both segments recovered during the session and moved into positive territory.
The Nifty Midcap Index traded higher by about 0.13 percent, while the Nifty Smallcap Index gained approximately 0.25 percent.
Sectoral performance
Among sectoral indices, the pharma sector recorded the highest gains, with increased investor participation and buying in several pharmaceutical stocks. In contrast, the realty and banking sectors remained relatively weak, with limited pressure and marginal declines in select stocks.
Global cues influence market direction
Global factors continued to influence market direction, with fluctuations in crude oil prices impacting sentiment. In the previous session, Brent crude oil declined about 2.84 percent to close at $100.21 per barrel. The decline was attributed to a call by US President Donald Trump for allied nations to normalize energy supply, along with expectations of increased supply from strategic reserves.
During Asian trading hours, prices reversed direction amid concerns over potential supply disruptions. Brent crude oil rose approximately 2.9 percent to $103.06 per barrel.
Such volatility in crude oil prices may contribute to uncertainty in the market and influence investor strategies in the coming sessions.
Broader market movement
The broader market maintained a limited but positive trend. The Nifty Midcap 100 Index traded marginally higher by about 0.02 percent, while the Nifty Smallcap 100 Index gained approximately 0.08 percent.
IPO market activity
Primary market activity remained active, with new offerings attracting investor attention. Novus Loyalty IPO opened for subscription, aiming to raise about Rs 60.15 crore. The issue will remain open until Friday.
GSP Crop Science IPO entered its second day of subscription, having received 0.48 times subscription on the first day. The issue is a book-built offering of approximately Rs 400 crore, comprising both a fresh issue and an offer for sale.
