The Indian stock market closed higher on Wednesday, November 11, following a holiday for Diwali. The Sensex and Nifty registered gains, supported by buying in automobile, banking and FMCG stocks. However, profit booking at higher levels during the second half of the trading session trimmed the market's early gains.
The BSE Sensex closed at 81,879.40, gaining 772.75 points, or 0.95%. The NSE Nifty 50 advanced 210.40 points, or 0.84%, to settle at 25,255.05.
Buying activity remained visible across the Indian equity market throughout Wednesday's session. The Sensex ended at 81,879.40, while the Nifty 50 settled at 25,255.05.
In the previous trading session on Monday, the Sensex had closed at 81,106.65 and the Nifty at 25,044.65. The stock market remained closed on Tuesday, November 10, on account of Diwali-Balipratipada.
At the opening of Wednesday's session, the Sensex surged by more than 1,142 points. The indices extended their gains during the session, but selling pressure in some major companies' shares increased after midday. Consequently, both benchmark indices retreated from their intraday highs. Nevertheless, they maintained their gains until the closing bell.
Mahindra & Mahindra, InterGlobe Aviation (IndiGo), Eicher Motors, Trent and ITC were among the top gainers on the Nifty on Wednesday.
Automobile stocks witnessed buying activity, supported by expectations of b vehicle sales during the festive season. Banking shares also attracted investor interest. HDFC Bank gained more than 2%, while Axis Bank and State Bank of India shares advanced by around 3%.
However, several major stocks closed lower. Tech Mahindra, ICICI Bank, Nestle India, HCL Tech and Grasim were among the stocks that recorded declines.
Despite the mixed performance among heavyweight stocks, both benchmark indices ended the session in positive territory.
Automobile, banking and fast-moving consumer goods (FMCG) stocks witnessed buying during Wednesday's trading session.
The automobile and banking sector indices gained in the range of around 1% to 2%. FMCG stocks also recorded gains.
In contrast, information technology (IT), pharmaceutical and real estate stocks faced selling pressure. Declines in these sectors limited the gains in the benchmark indices.
Buying activity was also visible in the broader market. The Nifty Smallcap index gained around 1.6%, while midcap stocks also closed higher. This reflected investor participation beyond large-cap stocks.
The stock market witnessed profit booking after its initial rally on Wednesday. The Sensex and Nifty have recorded substantial gains over the past few weeks. Both benchmark indices have advanced by around 10% so far in November.
Against this backdrop, some investors opted to book profits by selling shares at higher prices.
Selling in IT and real estate stocks also exerted pressure on the market. However, growing interest among foreign investors in the Indian market and a moderation in international crude oil prices helped maintain a positive market environment.
