Nifty reclaims 24,000 as banks spark sharp rebound; Sensex rallies 791 points
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Indian equity benchmarks staged a strong recovery on Wednesday, with the Sensex surging nearly 800 points and the Nifty reclaiming the crucial 24,000 mark, as investors returned to banking and financial stocks after the previous session's global technology-led selloff.
The BSE Sensex jumped 790.54 points, or 1.04%, to settle at 76,991.22, while the NSE Nifty 50 gained 197.55 points, or 0.83%, to close at 24,021.65. The recovery came a day after markets witnessed a sharp correction that wiped out more than ₹5 lakh crore in investor wealth.
Financials lead the charge
Banking and financial stocks emerged as the biggest drivers of the rally.
The Nifty Bank index climbed 1.69%, while the Nifty Financial Services index advanced 1.54%, helping benchmark indices recover a large portion of Tuesday's losses. Investors lapped up frontline lenders and financial stocks amid improving risk sentiment.
The rally was largely concentrated in large-cap names, with broader market participation remaining relatively muted. The Nifty Midcap Select index rose just 0.24%, indicating investors preferred established blue-chip counters over riskier mid-cap bets.
IndiGo, Trent among top gainers
Among Nifty constituents, InterGlobe Aviation (IndiGo) emerged as the top performer, gaining 4.77%. Trent climbed 3.60%, while Adani Enterprises advanced 3.55%.
Tech Mahindra rose 3.21%, recovering from the pressure witnessed in information technology stocks during the previous session. Bajaj Finance also featured among the top gainers, rising 2.87%.
The gains in technology shares were notable after global markets had been rattled by concerns over stretched valuations in AI and semiconductor-linked stocks.
Autos, metals under pressure
Not all sectors participated in the rebound.
Bajaj Auto was the biggest loser on the Nifty, falling 2.69%. NTPC declined 2.18%, while Maruti Suzuki , Tata Steel and ONGC also ended in negative territory as investors booked profits in select auto, metal and energy names.
The divergence highlighted a shift toward financials and growth-oriented sectors while cyclical stocks continued to face pressure.
Global sentiment improves
The rebound came as global sentiment stabilised following Tuesday's broad-based selloff across Asian markets.
Investors assessed whether the sharp correction in global technology stocks had gone too far, prompting bargain buying in several markets. The recovery in domestic equities was also accompanied by strength in the local currency, with the rupee appreciating 11 paise to settle at 94.65 against the US dollar.