Ahead of Market: 10 things that will decide stock market action on Thursday

The Indian stock market closed in the deep green on Wednesday, snapping a two session losing streak as positive global cues and other factors boosted investor sentiment. Sensex gained around 444 points to close at 76,922.64, while Nifty 50 rose over 140 points to end the session at 24,005.85 on Wednesday. This came as India VIX, which measures volatility in market, dropped over 3% to 13.19. The sharp gains added over Rs 2 lakh crore to the total market capitalisation of all companies listed on BSE, pulling it up to around Rs 476 lakh crore.

Here's how analysts read the market pulse

"The domestic markets entered H2CY26 on an optimistic footing as multiple headwinds began to abate, with the anticipated US-India trade agreement, easing Middle East tensions, and benign oil prices emerging as the key drivers of positive sentiment. The recovery was broad-based with an outperformance of large caps due to a favourable valuation and an expectation of a partial reversal of FPI sentiment after the last two years of outflows. While near-term sentiment remains constructive, markets are likely to stay data-dependent, with investors balancing improving domestic fundamentals against evolving global macroeconomic and geopolitical developments,” said Vinod Nair, Head of Research at Geojit Investments.



US stocks

Wall Street's main indexes fell on Wednesday as unease surrounding U.S.-Iran tensions cast a shadow on Middle East peace talks, setting a cautious tone for the second half of the year.

Tehran said it would not meet with top U.S. envoys who flew to the region following an outbreak of hostilities. Although a source with direct knowledge of the talks as well ‌as an Iranian official ⁠said the ⁠U.S. and Iran held technical talks in Doha, contrasting rhetoric suggested a breakthrough may prove to be elusive.

European markets

Europe's region-wide STOXX 600 was down 0.3% at 1120 GMT, steadying after a 10% quarterly rise that marked its strongest performance since late 2020, with sentiment towards the region helped in recent weeks by ⁠falling energy ‌prices.

Data backed that view. Euro zone inflation eased more than expected in June, further reducing pressure on the ECB to raise rates again after last month's first hike in nearly three years.

Tech view

The Nifty remained range-bound as the index failed to break out of its recent trading band, said Rupak De, Senior Technical Analyst at LKP Securities. Over the past few sessions, it has been hovering around the 24,000 mark, indicating a lack of directional momentum, he noted.

“Despite the sideways movement, the short-term trend remains positive, with the index showing resilience throughout the session. However, momentum continues to be subdued. Going forward, the bullish bias is likely to remain intact as long as the Nifty holds above the 23,800 support level. On the higher side, the index may continue its slow but steady upward trajectory, with the potential to move towards 24,200 and higher over the near term,” according to the analyst.

Most active stocks in terms of turnover

RITES (Rs 2,228 crore), HDFC Bank (Rs 2,082 crore), Maruti Suzuki (Rs 2,004 crore), Eternal (Rs 1,837 crore), ICICI Bank (Rs 1,645 crore), MCX India (Rs 1,554 crore) and KPIT Tech (Rs 1,484 crore) were among the most active stocks on NSE in value terms. Higher activity in a counter in value terms can help identify the counters with the highest trading turnovers in the day.

Most active stocks in volume terms

Vodafone Idea (Traded shares: 42.38 crore), Reliance Power (Traded shares: 34.79 crore), Ola Electric Mobility (Traded shares: 27.40 crore), JP Power (Traded shares: 10.04 crore), RITES (Traded shares: 9.67 crore), Yes Bank (Traded shares: 9.35 crore) and Eternal (6.68 crore) were among the most actively traded stocks in volume terms on NSE.

Stocks showing buying interest

RITES, Reliance Power, Delhivery, Inventurus Knowledge, Hexaware Technologies, Aegis Logistics and TBO Technologies were among the stocks that witnessed strong buying interest from market participants.

52-week high

Among the ones which hit their 52-week highs on NSE included Delhivery, Inventurus Knowledge, Aegis Logistics, ITD Cementation, Phoenix Mills, Adani Enterprises and Nippon Life AMC.

Stocks seeing selling pressure

Stocks which witnessed significant selling pressure were KPIT Tech, Apar Industries, Coforge, Tata Elxsi, Himadri Speciality, IGL and GE Shipping.

52-week low

Among the ones that hit their 52-week lows on NSE included KPIT Tech, Tata Elxsi, Birlasoft, HCL Tech, TCS, IndiaMART and Infosys.

Sentiment meter favours bulls

Out of the 3,425 stocks that traded on the NSE on July 1, Wednesday, 1,852 stocks witnessed advances, 1,473 saw declines while 100 stocks remained unchanged.

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)