Stock Market Ends Flat, Sectoral Gains Offset By Profit-Taking

The stock market concluded Friday's trading on a flat note, with the BSE Sensex falling 53.07 points to 79,996.60, while the NSE Nifty gained 21.70 points to close at 24,323.85. The mixed performance was shaped by cautious trading, profit-taking, and encouraging sector-specific gains and corporate announcements.

The stock market ended trading on Friday on a flat note, regardless of a record-breaking rally earlier in the week. The BSE Sensex edged down by 53.07 points to 79,996.60, narrowly missing the 80,000-mark, whereas the NSE Nifty climbed 21.70 points to settle at 24,323.85.

This mixed closing underscores a day of cautious trading, as investors weighed profit-taking actions against optimism from positive sectoral performances and key corporate announcements. The Sensex, which recently hit an all-time high, saw a minor decline on the final trading day of the week. Conversely, the Nifty recorded a modest gain, bolstered by advances in specific sectors.

Among the Nifty-listed companies, 34 registered gains, while 16 saw declines, indicating a balanced but cautious market sentiment. Notable gainers included ONGC, Reliance Industries, and State Bank of India, driven by sector-specific boosts.

ONGC enjoyed a surge due to rising crude oil prices and a strong quarterly performance. Reliance Industries saw upward momentum from its retail and telecom segments, while State Bank of India thrived thanks to robust banking sector performance and favorable interest rate conditions. Other top performers were Britannia, benefiting from high FMCG product demand, and Cipla, which gained from a positive outlook in the pharmaceutical sector driven by strong export orders.

Conversely, prominent companies faced declines. HDFC Bank witnessed share drops amid concerns about rising interest rates affecting loan growth. Titan suffered due to weaker-than-expected jewelry sales, and LTIMindtree was impacted by global IT spending concerns. Tata Steel struggled with decreasing steel prices and global trade issues, while IndusInd Bank faced drops due to asset quality worries and exposure to stressed sectors.

A significant highlight was Raymond's shares, which soared over 18% to a yearly peak following its board's approval of demerging its realty business into Raymond Realty Ltd. This strategic move aims to unlock shareholder value and focus on core business areas, driving positive investor reactions.

Varun Aggarwal, founder and managing director of Profit Idea, remarked, "Sector-wise, the market experienced varied performances. Nifty Healthcare, Nifty Pharma, Nifty FMCG, and Nifty PSU Bank led the gains due to strong earnings reports and positive market sentiment. The healthcare and pharmaceutical sectors benefited from increased demand and robust export orders, while FMCG companies thrived on strong consumer spending."

He added, "Public sector banks gained from improved asset quality and government capital infusions. However, sectors like Nifty Financial Services, Nifty Private Bank, and Nifty Auto faced losses due to profit-booking and economic concerns, such as rising non-performing assets and supply chain disruptions."

Bajaj Auto saw a significant rise, with shares surging over 2% and reaching an intraday high on the NSE due to the launch of its first-ever CNG and petrol-powered motorcycle, the 'Freedom 125,' responding to the growing demand for fuel-efficient vehicles.

On the currency front, the Indian Rupee appreciated by 0.04% against the US Dollar amid mixed global economic cues, constrained by domestic market weaknesses and rising crude oil prices. Gold prices hovered near resistance levels in anticipation of the US Non-Farm Payrolls (NFP) report, expected to significantly influence future Federal Reserve policies and global gold prices.

Indian shipbuilders like Mazagon Dock Shipbuilders, Cochin Shipyard, and Garden Reach Shipbuilders saw substantial market cap gains, collectively rising by nearly Rs 1.5 lakh crore in 2024, reflecting strong investor confidence driven by robust order books and favorable government initiatives.

Globally, Asian markets opened positively ahead of crucial US payroll and job data releases, boosting economic sentiment. This optimism had a positive influence on Indian markets, contributing to investor confidence despite the mixed domestic performance. As the trading week concluded, market participants remained both cautious and optimistic, closely observing global economic indicators and domestic corporate developments for future trading cues.

(Disclaimer: With inputs from agencies.)