Indian Equities Edge Higher as Global Rally Fuels Optimism; Nifty Nears 24,600, Sensex Tops 80,900

Indian stock markets opened on a positive note on Wednesday, reversing a three-day losing trend as global equity cues lifted investor sentiment. The BSE Sensex rose 230.17 points in early trade, reaching 80,967.68, while the NSE Nifty climbed by 70.25 points to 24,612.75, before settling slightly lower by mid-session. This surge was triggered by upbeat global market performance, particularly a rally in the US markets after stronger-than-expected job openings data soothed concerns over economic slowdown.

Market participants appeared to temporarily set aside macroeconomic uncertainties and geopolitical concerns, including the impact of U.S. tariff policies, in favor of improved investor confidence. Positive Asian cues, with Japan’s Topix up 0.5% and Hong Kong’s Hang Seng rising 0.7%, further supported the early uptrend in Indian indices.

Highlights:

• Sensex opened 230.17 points higher at 80,967.68.

• Nifty climbed 70.25 points in early trade to 24,612.75.

• Global rally driven by upbeat US job market data supported the momentum.

Sectoral Gains Driven by Telecom, IT, and Auto Stocks

The broader gains across sectors were led by strong performances in telecom, information technology, and auto stocks. Bharti Airtel, Eicher Motors, IndusInd Bank, Maruti Suzuki, Tata Motors, and Bajaj Finance emerged as the top gainers in the Sensex pack. Airtel gained notable traction on the back of renewed investor confidence amid expanding 5G rollout and subscriber additions.

On the other hand, sectors such as FMCG, realty, and PSU banks recorded modest gains of 0.6–2%. The BSE IT index advanced 0.5%, mirroring the broader tech optimism seen in global markets. Meanwhile, the BSE Realty index was down 0.5% due to muted investor participation, reflecting subdued real estate demand amid persistent high home loan interest rates.

Highlights:

• Bharti Airtel, Tech Mahindra, and Maruti led gains in their respective sectors.

• BSE Realty index slipped 0.5%, while IT and Media indices added 0.5% each.

• PSU Bank and FMCG indices posted up to 2% gains.

Volume Shockers Dominate Midcap and Smallcap Action

Among notable volume shockers on the NSE, several small and midcap stocks saw sudden surges in trading volumes. Indegene dropped 4.42% despite a staggering volume spike to 35.8 million shares against a five-day average of just over 550,000—a volume increase of over 6,000%. Saregama India gained 7.44% with volumes soaring to 4.26 million shares, signaling renewed investor interest following its recent digital content distribution push.

Aditya Birla Fashion saw a sharp fall of 9.13%, with over 195 million shares traded, amid profit-booking following its previous rally. Meanwhile, R K Swamy rose nearly 10% with volumes jumping nearly 961% above the five-day average, indicating speculative buying in the counter.

Highlights:

• Indegene, Aditya Birla Fashion, and Saregama India saw significant volume spikes.

• R K Swamy, NAVA, and Cochin Shipyard witnessed unusually high trading interest.

• Sun Pharma Advanced Research tumbled nearly 18% with massive selling volume.

Stocks Exhibit Price Shocks Over Three-Day Window

On the price shocker front, Servotech Power Systems continued its upward trajectory, gaining 33.89% over three sessions. The stock has been buzzing amid expectations of strong order inflows in the renewable energy segment. Similarly, NRB Industrial Engineering surged 30.17% in the last three days, reflecting improved sentiment around industrial automation and efficiency-related businesses.

Other notable price gainers include Pennar Industries (+19.63%), AstraZeneca (+19.56%), and Agro Phos India (+17.32%). On the flip side, Sun Pharma Advanced Research declined sharply, facing investor skepticism over its pipeline progress and recent regulatory updates.

Highlights:

• Servotech Renewables soared 33.89% in three days.

• NRB Industrial and Omaxe posted 20–30% gains.

• AstraZeneca continued its momentum, up nearly 20% on renewed buying.

Institutional Trends: FIIs Continue to Sell Despite Market Uptick

While domestic equities registered a rebound, foreign institutional investors (FIIs) continued their selling streak for the third straight session. On June 3, FIIs offloaded shares worth ₹2,853.83 crore, indicating caution ahead of potential US Federal Reserve rate actions and concerns around inflationary persistence. The outflow also highlights a preference shift by global investors toward US and developed market assets, where bond yields are relatively more attractive.

Domestic institutional investors (DIIs), however, supported the market by absorbing part of the selling pressure. Their participation ensured limited downside and contributed to the underlying resilience of large-cap stocks.

Highlights:

• FIIs net sold ₹2,853.83 crore worth of equities on June 3.

• DIIs stepped in to stabilize the market amid persistent foreign selling.

• Global yield differential continues to impact FII flows.

Midcap IPOs and Corporate Moves Capture Investor Interest

In corporate action, several stocks attracted attention due to IPO activity and block deals. Scoda Tubes debuted flat at ₹140 on both NSE and BSE, while Tata Technologies faced pressure after reports of TPG offloading a 2.1% stake via a block deal. Vodafone Idea fell 2% after Ericsson sold shares worth ₹428 crore, prompting concerns about future dilution and fundraising prospects.

Wipro, on the other hand, gained after signing a multi-year digital transformation deal with US-based Entrust, reinforcing the bullish narrative around Indian IT companies securing high-value international contracts.

Highlights:

• Scoda Tubes listed flat despite decent investor interest during the IPO.

• Tata Technologies dipped as TPG exited part of its holding.

• Wipro rose after clinching a long-term deal with Entrust.

Global Equity Update: Asian and European Markets Trade Steady

Globally, equity markets reflected cautious optimism. S&P 500 futures were flat in mid-Asian trade, while European markets opened higher. Euro Stoxx 50 futures rose 0.2%, suggesting modest risk appetite among European investors. Asian indices showed resilience, with Japan’s Topix up 0.5% and the Hang Seng index adding 0.7% amid optimism over easing US-China tensions and improving macroeconomic data in China.

The global equity mood was also lifted by investor anticipation that major central banks, including the European Central Bank and the US Federal Reserve, may soon pivot toward policy easing, which would be beneficial for risk assets like equities.

Highlights:

• Euro Stoxx 50 futures up 0.2%; S&P 500 futures trade flat.

• Japan’s Topix gains 0.5%, Hang Seng climbs 0.7%.

• Optimism around US-China trade developments improves sentiment.