Stock market today: Nifty 50, Sensex end higher but off day’s highs on profit booking; clock third week of gains

Stock market today: Indian stock market ended in the green on Friday, May 2, but retreated sharply from the day's highs as investors booked profits at higher levels, triggering a sharp reversal in the benchmark indices during the second half of the session

The day, which began on a flat note, gained momentum in the early hours, buoyed by a strong rally in financials. However, the market couldn’t sustain the pace as the session progressed, giving up most of its gains to end with marginal advances.

The Nifty 50 came off 243 points from the day's high to settle at 24,346, up 0.05% from the previous close. Meanwhile, the Sensex erased 662 points from its intraday high to conclude the session with a gain of 0.34%, closing at 80,517.

While both indices witnessed a roller-coaster ride, they extended their weekly winning streak to a third straight week, largely driven by a resurgence in overseas investor sentiment toward Indian equities.

The Nifty 50 and Sensex ended the week with gains of 1.28% and 1.64%, respectively. After largely being net sellers since the benchmarks hit record highs in September, foreign investors are now returning amid growing optimism that India’s domestically driven economy will help the country weather the global trade war better than many peers.

They remained net buyers over the last 11 trading sessions (April 15–30), pumping a cumulative ₹37,400 crore into Indian equities. Indian markets were shut on Thursday for a holiday.

Meanwhile, India and the United States are actively progressing toward a bilateral trade agreement. On Tuesday (April 29), President Trump expressed optimism about the ongoing trade negotiations, suggesting the two countries are close to reaching a tariff deal—supporting the ongoing rally in Indian equities.

In addition, trade tensions between Washington and Beijing also appear to be cooling, as China said it is evaluating U.S. overtures to initiate trade negotiations—potentially paving the way for the world’s two largest economies to begin talks aimed at resolving a trade war that has rattled financial markets and dampened global economic activity.

Sectoral Watch: Oil and gas stocks lead; consumer durables stocks lag

From a sectoral performance perspective, Nifty Oil and Gas emerged as the top gainer, rising by 0.73%, followed by Nifty Media and Nifty IT, which ended the session with gains of 0.49% and 0.27%, respectively.

On the losing side, Nifty Consumer Durables was the top laggard, falling by 1.39%, while Nifty Metal, Nifty Pharma, Nifty Realty, Nifty FMCG, and Nifty Auto also closed lower, with losses ranging from 0.10% to 0.74%.

Technical outlook

Rupak De, Senior Technical Analyst at LKP Securities, said, "The index has witnessed a bout of volatility during the week, slipping sharply after facing rejection around the 24,550 level. On the daily chart, a long upper-wick candle suggests selling pressure at higher levels. Going forward, support is placed at 24,250; a fall below this level might trigger a correction toward 24,000. Additionally, the index may remain range-bound within the 24,000–24,550 band. Only a decisive breakout above 24,550 may lead to a decent rally in the index."

Disclaimer: The views and recommendations given in this article are those of individual analysts. These do not represent the views of Mint. We advise investors to check with certified experts before taking any investment decisions.