Stock market today: Indian benchmark indices, Sensex and Nifty, opened higher on Monday, driven by sustained optimism following the GST Council’s major tax cuts and supported by weak U.S. labor data, which strengthened expectations of a Federal Reserve rate cut.
The S&P BSE Sensex gained 160.81 points, or 0.20 per cent, at the open to 80,871.57, while the NSE Nifty 50 rose 49.95 points, or 0.20 per cent, to 24,790.95. By 9:35 AM, the Sensex was up 253 points, or 0.31 per cent, at 80,964, and the Nifty 50 climbed 83 points, or 0.34 per cent, to 24,824.
Last week, the Sensex and Nifty had gained 1.1 per cent and 1.3 per cent, respectively, after the GST Council reduced levies on essential goods to boost consumption.
“The heightened uncertainty surrounding the US – India trade relations will continue to weigh on markets. President Trump’s recent statements regarding the “special US- India ties” and that “there is nothing to worry” indicate improvement in the strained relationship. However, Trump’s comments on second round of sanctions against Russia and Peter Navarro’s continuing tirade against India are negative factors. Also there are rumours of probable restrictions on India’s IT exports even though trade in services has so far been untouched by reciprocal tariffs. These concerns will continue to influence the market which got a morale boost from the GST reforms. The euphoria from GST reform was short-lived since the market had already partly discounted the GST rate cuts.
Post-September 22nd when the new GST rates come into effect, there will be huge spurt in demand, particularly for automobiles and consumer durables. This has the potential to lift the market sentiments,” said VK Vijayakumar, Chief Investment Strategist, Geojit Investments Limited.
Key technical levels to watch out
Nifty 50
Nifty closed the week on a stable note, as benchmark indices recorded modest gains despite periods of volatility.
Amruta Shinde, Research Analyst at Choice Broking, said that Nifty displayed resilience after a sharp mid-week sell-off, rebounding strongly from the 100-day EMA near 24,633.
“Looking ahead, a decisive close above the 25,000 mark will be crucial to trigger the next leg of upside, potentially paving the way towards the 25,500–25,675 supply zone. Until then, Nifty is likely to trade in a sideways-to-positive range, with traders expected to adopt a buy-on-dips approach near key supports. Overall, the market outlook remains cautiously optimistic, with broader markets likely to stay in focus, though some consolidation after the recent rally cannot be ruled out,” Shinde said.
Bias– Sideways to Bullish
Bank Nifty
Bank Nifty ended on a flat note on Friday, closing near 54,114.55 after recovering nearly 390 points from the day’s low, highlighting sustainability above the 54,000 mark.
“If selling pressure resumes and the index breaks below 53,550, it could trigger a deeper corrective move toward 53,000 and 52,500. On the upside, immediate resistance is placed around 54,550. A sustained breakout above this level could attract fresh buying interest, with potential targets at 55,000 and 55,300. Technical indicators also suggest a mixed-to-cautiously bullish outlook. The RSI is hovering around 37.92 and trending sideways, reflecting indecisiveness. Moreover, the index continues to trade below both the 20-day and 50-day EMAs on the daily chart, signaling prevailing bearish undertones,” Shinde said.
Bias– Sideways to Bullish
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