New Delhi, 13 July (H.S.):

The domestic equity market witnessed sharp volatility on Monday as escalating tensions in West Asia weighed heavily on global markets, triggering a weak opening in Indian equities. Both the Sensex and the Nifty extended their losses shortly after the opening bell under the impact of global uncertainty. However, value buying at lower levels, strong demand for information technology (IT) stocks, and sustained foreign institutional buying helped the market stage a remarkable recovery. The Sensex rebounded more than 900 points from its intraday low, while the Nifty recovered over 250 points. Despite the sharp turnaround, both benchmark indices eventually ended the session almost flat with marginal gains.

IT stocks remained the standout performers throughout the trading session, with the Nifty IT Index closing 3.59 per cent higher. The banking, automobile, consumer durables, public sector enterprises, and oil and gas indices also finished in positive territory. On the other hand, sustained selling pressure in FMCG stocks dragged the Nifty FMCG Index down by 0.82 per cent. The capital goods, healthcare, metal, realty, infrastructure, and energy indices also ended the day in the red.

The broader market remained under pressure during the session. The Nifty Midcap Index ended with a marginal gain of 0.01 per cent, while the Nifty Smallcap Index closed 0.03 per cent higher. Strong buying in IT stocks increased investors' wealth by more than Rs 1 lakh crore. The total market capitalisation of companies listed on the Bombay Stock Exchange (BSE) rose to an estimated Rs 482.40 lakh crore at the close of trade, compared with Rs 481.30 lakh crore on the previous trading day, resulting in a gain of nearly Rs 1.10 lakh crore for investors.

A total of 4,592 stocks were actively traded on the BSE during the day. Of these, 2,335 advanced, 2,068 declined, and 189 remained unchanged. On the National Stock Exchange (NSE), 2,995 stocks witnessed active trading, with 1,535 closing higher and 1,460 ending in the red. Among the 30 Sensex constituents, 12 stocks gained while 18 declined. Of the 50 Nifty stocks, 20 advanced and 30 closed lower.

The BSE Sensex opened 606.04 points, or 0.78 per cent, lower at 76,963.35. Continued global selling pressure pushed the index down by as much as 711.96 points to an intraday low of 76,857.43. Thereafter, aggressive value buying emerged at lower levels, particularly in IT stocks, supported by foreign investors, helping the benchmark recover sharply.

Just before 3 p.m., the Sensex had surged 931.86 points from its day's low to touch an intraday high of 77,789.29, up 219.90 points. However, profit booking in the final hour erased part of the gains, and the index eventually settled 47.01 points higher at 77,616.40.

Similarly, the NSE Nifty opened 167.50 points, or 0.69 per cent, lower at 24,039.40. Within the first 20 minutes of trading, heavy selling dragged the index to an intraday low of 24,000.20, down 206.70 points. Buying interest subsequently strengthened, leading to a steady recovery.

Around half an hour before the close, the Nifty had climbed 259.60 points from its day's low to touch an intraday high of 24,259.80, up 52.90 points. However, intraday settlement-related selling trimmed the gains, and the index ultimately closed 4.10 points higher at 24,211.

Among the benchmark stocks, Tata Consultancy Services (TCS) emerged as the top gainer, rising 5.44 per cent, followed by HCL Technologies (4.91 per cent), Tech Mahindra (3.42 per cent), Infosys (3.24 per cent), and Bajaj Auto (2.22 per cent).

On the losing side, Grasim Industries declined 2.16 per cent, followed by Tata Steel (2.13 per cent), Nestlé India (1.94 per cent), InterGlobe Aviation (1.55 per cent), and Eternal (1.54 per cent).

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Hindusthan Samachar / Jun Sarkar