The Indian equity benchmarks ended the trading session on October 28 in negative territory after a volatile day marked by profit booking and mixed sector performance. The 30-share BSE Sensex fell by 150.68 points, representing a decline of 0.18%, to close at 84,628.16. Meanwhile, the NSE Nifty 50 index dropped by 29.95 points or 0.11%, settling at 25,936.20.
This closing pointed to a modest correction after a recent rally, with investors gradually booking profits. Despite the late-day slip, the indices are maintaining a firm base around key support levels, indicating resilience in the broader market.
Top 5 Winners
Several stocks bucked the downward trend with robust gains, particularly in sectors like metal, insurance, and banks. The top five winners of the day were:
1. Tata Steel – Surged by approximately 3%, driven by positive global metal prices and strong Q2 earnings.
2. Larsen & Toubro (L&T) – Gained about 1.5% amid optimism over infrastructure and capital expenditure announcements.
3. State Bank of India (SBI) – Advanced nearly 1.6%, bolstered by improving loan book growth and stable asset quality.
4. Kotak Mahindra Bank – Rose by approximately 1.4%, reflecting steady quarter-on-quarter growth and confidence in retail lending.
5. Reliance Industries – Increased around 1%, supported by steady performance across its diversified businesses including telecom and retail [2][3][4].
Top 5 Losers
Profit booking and sector-specific pressures hit certain stocks harder, especially in financial services, realty, and IT sectors. The top five losers were:
1. Bajaj Finserv – Fell 1.5%, under pressure amid cautious financial sector sentiment.
2. Trent – Dropped 1.37%, impacted by profit taking in retail stocks.
3. Coal India – Declined 1.31%, affected by commodity price volatility.
4. Tech Mahindra – Decreased approximately 1.13%, reflecting mixed quarterly results.
5. ONGC – Fell about 1.1%, amid pressure on energy sector stocks despite global crude price movements.
Sectoral Performance Overview
A mixed bag of sectoral performances characterised the trading day:
Top Performing Sectors:
Nifty Metal: Up by over 1%, led by Tata Steel and JSW Steel on favourable global cues.
Nifty PSU Banks: Rose by more than 1%, supported by State Bank of India and Indian Bank.
Engineering Services and Insurance sectors also showed moderate gains, aiding the broader market despite overall weakness.
Underperforming Sectors:
Nifty Realty: Was the top loser, reflecting sluggish property sector sentiments.
IT, Energy, Financial Services, FMCG, Pharma, and Consumer Durables faced profit booking pressures, weighing on the indices.
Energy stocks saw notable declines amid global crude oil price corrections.
Market Breadth and Volumes
The market breadth on October 28 was negative with more stocks declining than advancing. Approximately 2,482 stocks declined, while about 2,067 advanced out of the total traded 4,549 stocks. This indicates cautiousness among investors amid uncertain global cues and mixed corporate earnings.
Trading volumes remained active on key counters, especially in metal and bank stocks, reflecting concentrated investor interest in defensive and cyclical sectors.
Analysis and Technical Insights
The Nifty 50 index closed on a neutral-to-bullish note despite the fall, maintaining support around the crucial 25,800 level. The index made attempts to break above the 26,000 mark but could not sustain on a closing basis.
Technical experts suggest a possible upside if the Nifty crosses 26,000 decisively with strong volumes, targeting a rally towards 26,150 to 26,250. Conversely, a sustained fall below 25,800 could lead to short-term weakness towards 25,700 to 25,500.
International and Domestic Factors Influencing the Market
The cautious market sentiment was partly influenced by mixed global cues, including the US-China trade dynamics and fluctuating commodity prices. Steady domestic earnings reports provided some support, but profit booking after recent rallies kept indices tepid.
Key Takeaways for Investors
– The Indian share market displayed resilience despite minor profit booking, indicating confidence in long-term fundamentals.
– Metal and PSU bank sectors remained bright spots amidst broader weakness.
– Select IT, financial, and realty stocks require monitoring amid earnings season volatility.
– Keeping an eye on the 25,800 support level on the Nifty is crucial for near-term market direction.
For up-to-date information on India’s share market, investors may refer to official platforms such as the National Stock Exchange (NSE) (https://www.nseindia.com) and the Bombay Stock Exchange (BSE)(https://www.bseindia.com).