Sensex Surges 965 Points as IT and Banking Rally Drives Markets Higher

Sensex Surges 965 Points as IT and Banking Rally Drives Markets Higher​

Indian benchmark indices delivered a powerhouse performance on July 17, fueled by aggressive buying in the auto, information technology, and banking sectors. Investor sentiment remained upbeat as the market anticipated Reliance Industries' June-quarter earnings while capturing value in large-cap stocks.

The Sensex climbed 964.58 points or 1.25 percent to settle at 78,151.45. Meanwhile, the Nifty rose 261.55 points or 1.09 percent to finish at 24,334.30.

The domestic market demonstrated significant resilience by opening higher and extending gains throughout the session despite receiving weak global cues. The Nifty reached a day's high of 24,367.30 during the trading hours.

Sectoral Dynamics and Heavyweight Impact​

Strong buying in heavyweight stocks, particularly within the IT space, proved pivotal in offsetting pressures from the media, metal, and pharma sectors. This momentum was bolstered by Tech Mahindra reporting better-than-expected June-quarter earnings.

Nifty Private Bank emerged as the top gainer among sectors, surging 2 percent. It was closely followed by Nifty Bank with a 1.6 percent gain and Nifty IT with a 1.7 percent rise.

Other notable performers included Nifty Auto and Nifty Realty, which both rose 1.3 percent, while Nifty Oil & Gas gained 1 percent and Nifty FMCG added 0.7 percent. Conversely, Nifty Pharma shed 1.4 percent and the Metal index declined by 0.4 percent.

Individual Stock Highlights and Market Movers​

Key Nifty gainers included Kotak Mahindra Bank, Tech Mahindra, TCS, Jio Financial, and Reliance Industries. On the losing side, Hindalco, Dr Reddys Labs, Wipro, Sun Pharma, and Max Healthcare pressured the indices.

Tech Mahindra shares jumped 3 percent following a strong operational performance, while Jio Financial Services rallied 3 percent after posting robust quarterly earnings. Servotech Renewable Power System also advanced 3 percent on news of a 900 kW solar rooftop project order in Uttar Pradesh.

In contrast, CEAT tumbled 7 percent despite healthy revenue growth due to a sharp decline in June-quarter profit. Wipro slipped 1 percent following a mixed set of results, and PC Jeweller fell 6 percent after the board approved raising up to ₹1,000 crore through a Qualified Institutions Placement (QIP).

Breadth of Market and Currency Movement​

While the benchmarks showed strength, the broader market underperformed. The Nifty Midcap index fell 0.4 percent, while the Smallcap index recorded a loss of 0.2 percent for the week.

On the currency front, the Indian rupee snapped a four-day losing streak to end higher by 7 paise at 96.28 against the US dollar, up from the previous close of 96.35.

Market breadth remained positive as nearly 100 stocks touched their 52-week highs on the BSE. Notable names among the gainers included Federal Bank, Sona BLW, Exide Industries, Himadri Speciality, Adani Energy, Ipca Labs, Oracle Fin Services, Gujarat Fluorochemicals, Piramal Finance, and BHEL.

Technical Outlook and Analyst Perspectives​

Rupak De, Senior Technical Analyst at LKP Securities, noted that the index has broken out of a five-day consolidation phase, signaling improving optimism among traders and investors. The overall trend remains positive as the index trades above its critical moving averages.

The analysis highlights that the RSI has entered a bullish crossover, further reinforcing current positive momentum. In the near term, the index is expected to remain strong with potential to advance toward the 24,800 level.

Immediate support is placed at 24,200, though a decisive fall below this level could trigger a period of consolidation.