By Admin 
Stock Market News: A rise was seen in the stock market on the third trading day of the week i.e. Wednesday. The stock market closed with a rise due to strength in PSU banking and metal stocks. However, decline in IT stocks limited the gains on Dalal Street.
Strength in metal and PSU
The market closed with a surge. While the 30-point Sensex on BSE jumped 283.29 points and closed at the level of 83,734.25, the Nifty 50 on NSE also rose by 93.95 points and closed at the level of 25,819.35. While Tata Steel was the top gainer, whose shares rose by 2.83 percent, ITC closed up by 2.24 percent, Axis Bank by 1.51 percent, Mahindra & Mahindra by 1.49 percent while Reliance Industries closed up by 1.22 percent.
Whereas, a big fall of 1.58 percent was seen in the stocks of Tech Mahindra. After this, the stocks of Eternal went down by 1.56 percent, Infosys by 1.37 percent, Adani Ports and Special Economic Zone by 1.20 percent and HCL by 1.16 percent.
Why is the market bullish?
Regarding the rise in the market, Vinod Nair, Head of Research, Geojit Investments Limited, says that despite global uncertainties, tremendous buying by domestic investors has helped in the recovery. He said that banking and financial stocks have seen strength, FMCG has also performed relatively better. But in comparison to these, there was huge pressure on IT stocks due to the fear of AI.
According to Nair, the IT sector remained under pressure due to fears of possible widespread disruption from Artificial Intelligence (AI) and pressure on margins. However, the third quarter results of NIFTY 500 companies being in line with the estimates have indicated domestic economic stability in the medium term, which has maintained investor confidence.
Talking about Asian markets, Nikkei 225 closed with a gain of one percent, while the markets of China, Hong Kong and South Korea remained closed due to the traditional Lunar New Year holiday. European markets were trading briskly in afternoon trading. At the same time, American markets closed with gains on Tuesday, which supported global investment sentiment.
Domestic institutional activity was also positive. According to stock market data, foreign institutional investors (FIIs) bought shares worth Rs 995.21 crore on Tuesday, while domestic institutional investors (DIIs) bought shares worth Rs 187.04 crore. Meanwhile, the price of Brent crude in the international market increased by 0.33 percent to $ 67.64 per barrel. On Tuesday, BSE Sensex closed at 83,450.96 with a gain of 173.81 points and NIFTY 50 closed at 25,725.40 with a gain of 42.65 points. Overall, global signals are positive, but uncertainty regarding AI in the IT sector is still affecting market movements.
Also read: Silver again gained momentum, prices rose by more than Rs 8000 in a day, what will happen next?
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