Nifty 50 - Analysis

Home
Financial Market

Sensex and Nifty 50 indices recording their largest single-day gains in absolute terms

 


On Monday, May 12, 2025, Indian equity markets experienced a significant rally, with both the Sensex and Nifty 50 indices recording their largest single-day gains in absolute terms.

 Market Performance

  • Sensex: Surged 2,975.43 points (3.74%) to close at 82,429.90 
  • Nifty 50: Gained 916.70 points (3.82%) to settle at 24,924.70, marking its highest level since October 2024. 
  • Market Breadth: Strongly positive, with approximately 3,236 stocks advancing, 448 declining, and 90 remaining unchanged.

 Key Drivers

  • India-Pakistan Ceasefire: The announcement of a ceasefire between India and Pakistan over the weekend alleviated geopolitical tensions, boosting investor confidence.
  • US-China Trade Agreement: The United States and China agreed to a 90-day reduction in tariffs, with the U.S. lowering tariffs on Chinese imports from 145% to 30%, and China reducing tariffs on U.S. goods from 125% to 10%, fostering optimism in global markets .

Sectoral Highlights

  • Top Gainers:

  • Nifty IT: Rose by 6.7%, led by companies like Infosys and HCL Technologies .
  • Nifty Realty: Increased by 6.5%, reflecting positive sentiment in the real estate sector .
  • Nifty Smallcap 250: Gained 4%, indicating strong performance in smaller companies .

  • Lagging Sector:

  • Nifty Pharma: Experienced a modest rise of 0.15%, making it the least performing sector of the day .

 Notable Stock Movements

  • Adani Enterprises: Jumped 6.87%, benefiting from improved regulatory clarity and infrastructure spending outlook .
  • Shriram Finance: Increased by 6.68%, reflecting strong investor interest .
  • Infosys: Gained 6.25%, contributing significantly to the IT sector's performance .
  • LTIMindtree: Rose over 7% after securing a $450 million contract, the largest in its history 
  • Sun Pharmaceutical Industries: Declined by 3.08%, making it one of the few laggards in the Nifty 50 .

 Volatility Index

  • India VIX: Dropped by 14.63% to 18.47, indicating reduced market volatility and increased investor confidence.

 Outlook

The substantial gains suggest a bullish sentiment in the market, driven by easing geopolitical tensions and positive developments in international trade. However, investors should remain cautious and monitor upcoming economic indicators and global events that may influence market dynamics.

I’m Praveen Kumar, a seasoned Technical Analyst and stock market trader with over 25 years of experience in the Indian equity and derivatives markets. My passion for numbers and patterns led me to a dual career as a Mathematics Teacher and market technician. I specialize in Technical Analysis, with deep expertise in Elliott Wave Theory, derivatives strategies, and market forecasting. Over the years, my analysis and market views have been featured on NDTV Profit as a financial guest, along with published articles on reputed financial web portals, sharing insights on Nifty 50, Bank Nifty, and stock market trends. As a trader and analyst, I focus on interpreting price action, chart patterns, wave counts, and technical indicators to deliver precise market levels and actionable trade ideas. My approach blends classical charting with modern analysis tools to help traders navigate market volatility. Through VieCapital, I aim to share daily market analysis, trading strategies, and educatio…
NextGen Digital... Welcome to WhatsApp chat
Howdy! How can we help you today?
Type here...