Indian Stock Market Rebounds: Sensex and Nifty See Uptick After Seven Days of Declines

Indian stock markets have rebounded after seven consecutive losing sessions. Sensex gained 239.38 points, closing at 77,578.38, while Nifty rose 64.70 points to 23,518.50. Top sectoral gainers include auto and realty, despite concerns about weak earnings and continued foreign fund outflows affecting market sustainability.

After seven consecutive sessions of decline, Indian stock indices returned to positive territory on Tuesday, driven by value buying. The Sensex closed at 77,578.38 points, marking an increase of 239.38 points or 0.31 percent, while the Nifty ended at 23,518.50 points, a rise of 64.70 points or 0.28 percent.

Sectoral gains were led by the auto, media, realty, and consumer durables sectors, while metal, PSU banks, and oil & gas sectors faced losses, according to NSE data. These indices saw an initial rise of over 1 percent, before profit booking at higher levels curtailed gains.

Market analysts, such as V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services, caution that quick recoveries are unlikely. The sustained selling by Foreign Institutional Investors (FIIs) and fears of weak earnings growth in FY25 may result in the market consolidating with sideways movements. Investors are advised to focus on quality largecap stocks rather than riskier mid and smallcaps.

Before this rebound, Indian benchmarks experienced a continuous decline, largely due to weak quarterly earnings, persistent foreign fund outflows, and rising retail and wholesale inflation.

(With inputs from agencies.)