The benchmark indices recovered from early losses to end Tuesday's trading session on a positive note, with the Sensex rising 286.98 points, or 0.37 per cent, to settle at 77,656.09 and the Nifty gaining 115.50 points, or 0.48 per cent, to close at 24,334.55. According to reports from Zee News, the recovery was supported by gains in healthcare, pharma and public sector bank stocks, which provided strength to the broader market sentiment. The market had opened in the red but recovered and strengthened in the last few minutes of the NSE expiry session, with the Nifty also opening below Monday's close at 24,175.75 but climbing to an intraday high of 24,334.55 in the last half an hour. As per latest market data, the Sensex held comfortably above its crucial supports at 77,400–77,300, with resistance now sitting at 77,900–78,200; a decisive break above that zone would add further conviction to the short-term outlook. The Nifty 50 gained 116 points to settle at 24,334.55, reclaiming the psychologically important 24,300 level, with the broader trend remaining firmly bullish as long as supports hold.
Among the Nifty constituents, Adani Enterprises, Max Healthcare Institute and Apollo Hospitals Enterprise emerged as the top gainers, lending strength to the broader market sentiment. As reported by Zee News, sectoral performance remained mixed with the Nifty Healthcare index rising 1.09%, Nifty Consumer Durables gaining 0.93%, Nifty Financial Services Ex-Bank advancing 0.90%, Nifty Pharma up 0.85% and Nifty PSU Bank rising 0.75%. The Nifty IT index also ended higher with a gain of 0.57%, while Nifty Private Bank fell 0.20% and Nifty Metal slipped 0.07%. In the broader markets, the Nifty Next 50 rose 0.66%, Nifty Midcap 100 gained 0.54%, but small-cap stocks underperformed with Nifty Smallcap 100 declining 0.10%. However, latest data shows top losers included Federal Bank (-3.69%), NALCO (-2.31%), Hitachi (-2.22%), Persistent Systems (-1.86%), while Grasim (-1.72%), HCL Tech (-1.64%), Tech Mahindra (-1.36%) and Coal India (-1.22%) also faced selling pressure. Twelve of the 16 major sectors logged gains, with Financials (.NIFTYFIN) and IT (.NIFTYIT) rising 0.3% and 0.6% respectively, reversing losses in the final hour of trade.
Market experts noted that the much-anticipated U.S. sanctions against Iran fell short of market expectations, causing crude oil prices and bond yields to moderate from their recent peaks. According to an analyst quoted by Zee News, this relief in energy costs aided a moderately positive close on the monthly expiry day. Crude prices fell 3.2% to $89.20 per barrel as traders shrugged off the latest U.S. sanctions campaign against Iran, with markets still getting short-term support from Washington's shift to economic sanctions from military escalation. Vinod Nair, head of research at Geojit Investments Ltd, explained that "outperforming the broader market, healthcare and financial sectors gained as investors rotated into defensive and domestic-oriented sectors with signs of some stability in domestic bond market". The expert also highlighted that market participants are now awaiting upcoming inflation data and comments from the Fed Chair later this week for better clarity on the inflation and interest rate outlook. Iran's pledge to retaliate against expanded US economic sanctions has added to geopolitical concerns, with Tehran sounding confident that its major trading partners won't simply fall in line with the pressure campaign.
The Indian rupee led Asian currency gains as the combination of heavy central bank intervention and tumbling crude oil prices breathed fresh life into the domestic unit. As reported by Zee News, from a technical front, spot USDINR maintains immediate support near 95.25 alongside overhead resistance positioned at 95.75. The India VIX, an indicator of expected near-term market volatility, fell 4.29% to 11.03, indicating a decline in expected near-term market volatility. However, the Nifty 50's first monthly derivatives expiry under the new closing auction session (CAS) and the MSCI index rejig taking effect after market close on August 31 could add to volatility. Track 24,250–24,200 as near-term support and 24,050 as the deeper cushion for Nifty 50, with resistance placed at 24,400–24,500, a breakout above which could accelerate gains. Foreign investors bought shares worth ₹1,182 crore on Monday, provisional data showed, supporting the positive market sentiment. "Monthly expiry-related rollovers and positioning led to sharper-than-usual price swings, particularly during the final hour of trading," said Hariselvan Radhakrishnan, founder and CEO of HST Wealth. "The early sessions (under CAS) saw teething issues, including the gap between regular close and auction-determined close on August 3, which understandably unsettled traders," added Rajesh Singla, CEO and fund manager at Alpha AMC and Planify.
