Indian equity markets ended Wednesday's session on a positive note, with the Sensex closing 347.14 points higher at 77,155.62, up 0.45%, and the Nifty gaining 96.55 points to settle at 24,085.70, up 0.4%. According to Zee News, the benchmark index reclaimed the 24,000-mark amid buying in select heavyweight stocks, even as investors remained cautious ahead of the US Federal Reserve's policy decision. Market participants largely adopted a wait-and-watch approach, with the Federal Reserve widely expected to keep its benchmark interest rate unchanged at 3.5-3.75%. The GIFT Nifty June 2026 futures had traded flat at 24,000 earlier in the session, indicating a steady opening before the positive close.
Trent, Bharat Electronics and Hindalco Industries emerged as the top gainers, helping lift broader market sentiment and drive the positive close. As reported by Zee News, the Nifty PSU Bank index outperformed the market, followed by the Nifty Consumer Durables and Nifty Metal indices, while the Nifty Auto and Nifty Realty indices ended as the biggest laggards of the session. The broader markets also ended in positive territory, with the Nifty MidCap index advancing 0.52% and the Nifty SmallCap index climbing 0.79%. The rally was broad-based, with more than 30 stocks in the Nifty 50 index trading higher, as reported by Informist, with the Nifty IT index ending nearly 2% higher and the Nifty FMCG index gaining over 1%.
Nifty faces a crucial hurdle at the 24,000 mark, with a sustained breakout above this psychological level potentially strengthening bullish momentum and opening the door for a move towards the 24,100-24,200 zone, according to Ponmudi R, CEO of Enrich Money. Commenting on Nifty technical outlook, experts said that the 24,100-24,200 zone now emerges as the immediate resistance area. Immediate support is seen around 23,900, followed by the 23,800 level. For Bank Nifty, the 57,400 level remains the key trigger on the upside, with a move above it potentially pushing the index towards the 57,800-58,000 zone. The index bias remains positive and is currently placed around the upper band of the last two months falling channel, which coincides with the previous swing high of May 26 placed around the range of 24,050-24,100.
Sentiment remained supported by sharply lower crude oil prices, with Brent crude futures slipping below the $80-per-barrel mark for the first time since the early stages of the US-Iran conflict. As reported by Moneycontrol, the prospect of additional Iranian supplies entering global markets has raised expectations of sustained relief in energy prices, easing concerns around inflation and global growth. According to Ponmudi R, CEO of Enrich Money, crude oil prices have fallen sharply to a nearly three-month low and are currently trading in the $75-76 per barrel range. He noted that falling energy prices are expected to act as a tailwind for the Indian economy, helping contain inflation, improve external balances and support earnings growth across several sectors. The Nifty touched the 24,000 mark in late trade but pared some gains before the close, ending comfortably above the 23,950 mark.
Market participants are closely tracking the central bank's commentary on inflation, economic growth and the future rate trajectory for clues about the health of the world's largest economy. The Fed's outlook is also expected to provide insights into the potential impact of recent geopolitical tensions on global growth and financial markets. According to market expert analysis, until investors gain greater confidence in the durability of the agreement and the broader de-escalation process, markets are likely to remain sensitive to geopolitical headlines, with the risk of periodic volatility and sharp reversals persisting despite the recent improvement in sentiment. Meanwhile, the rupee traded largely flat near 94.50 as both the Dollar Index and crude oil prices remained range-bound, keeping currency markets in a wait-and-watch mode.
