After a 10-consecutive-day losing streak, the Indian stock market witnessed a sharp rebound, with the Nifty 50 gaining 1.14% and each sectoral index closing higher. The rebound was fueled by strong gains made in metal, information technology, media, and automotive shares to bring relief to investors.
Market Overview
On 5th March, the bulls once again dominated the Indian stock market overcoming the concern about the announcement made by Donald Trump about the imposition of retaliatory tariffs on imports from India. All 13 sectoral benchmarks closed in the positive region, registering a sharp shift in market sentiment after a series of selling pressure.
Earlier sectoral performances that were weak undermined the recovery efforts, keeping the benchmark indexes under pressure. However, the session today saw widespread buying interest that saw the rebound take shape.
A key stimulus to the rally was the bullish sentiment from China that drove a metal stock surge. IT shares, however, experienced fresh buying interest after an extended bear run that saw them drop to an eight-month low.
Moreover, the stock market was supported further by gains made by the auto and the media sectors. FMCG and the pharma sectors also saw healthy gains, further bolstering the recovery.
Market Performance
The Nifty 50 gained 1.14% to 22,334.90 to break the 10-day losing streak that was the longest one since 1996. The Sensex also gained 1% to 73,707 points.
Broader market beat the benchmarks, with the Nifty Midcap 100 index rising 2.38% to end the session at 49,148, while the Nifty Smallcap 100 index rose 2.90% to end the session at 15,190.
This strong rebound brought welcome relief, calming investors' worries that had seen the market weaken during the last few sessions.
