After three consecutive sessions of decline, Indian equities staged a smart recovery on Thursday, led by defence and PSU banking sectors. The Sensex closed higher by 397.74 points (0.49%) at 82,307.37, and Nifty settled 132.40 points (0.53%) up at 25,289.90.
The defence sector was the undisputed leader, with Nifty India Defence Index jumping 2.67%. PSU Banks followed suit with a 2.34% gain, while pharma, PSE, commodities, and metals sectors also posted gains ranging from 1.18% to 1.59%.
Only two major indices bucked the trend: Realty down 0.74% and Consumer Durables slipping 0.87%.
Sensex heavyweights like BEL, Tata Steel, Adani Ports, and SBI drove the index north, alongside Bajaj Finserv, Asian Paints, and others. Zomato-parent Eternal, Titan, ICICI Bank, Maruti, and HDFC Bank were among the few that ended lower.
Mid and small-cap indices mirrored the upbeat mood. Nifty Midcap 100 gained 1.34% to 58,191.30, and Smallcap 100 rose 0.76% to 16,677.25.
On NSE, advancers outnumbered decliners significantly: 2,344 up, 849 down, and 74 flat.
Analysts pointed to optimistic comments from US President Trump regarding trade tariffs and Greenland as key triggers for the bounce-back. Yet, rupee depreciation and ongoing FII outflows tempered the enthusiasm, maintaining a cautious market vibe.
Investors are now eyeing critical US economic releases on GDP and inflation for further cues. Markets opened bullishly, with Sensex at 82,459.66 and Nifty at 25,344.15, building on prior closes.
Overall, the session underscored sector rotation and resilience, offering a breather after recent pressures.