Nifty 50 steals show on market amid a lackluster session

Nifty 50 closed 71 points, or 0.29%, higher at 24,770.20

MUMBAI: The Nifty 50 index extended its winning streak to five consecutive sessions on Wednesday, August 21, bolstered by strong performances in FMCG and IT sectors.

The index closed the day 71 points, or 0.29 per cent, higher at 24,770.20

.Over these five sessions, the Nifty 50 has gained nearly 2.6 per cent.

The Sensex also ended the day higher, closing with a gain of 102 points, or 0.13 per ent, at 80,905.30.

Analysts noted that the Nifty opened flatly and remained in consolidation for most of the day. However, a late surge propelled the index to close with a gain of approximately 71 points.

On the daily charts, the Nifty appears to be heading towards the 24,830 – 24,900 zone.

Sector rotation is helping to sustain the Nifty at elevated levels, though negative divergence in momentum indicators suggests that the uptrend may slow, with potential for intraday pullbacks.

In terms of key levels, the 24,550 – 24,500 range is expected to act as crucial support, while the 24,900 – 24,960 range will serve as an immediate resistance zone in the short term.

Top gainers

Among the top contributors to the Nifty 50’s gains were shares of ITC, Bharti Airtel, Hindustan Unilever, Titan, and TCS. Conversely, HDFC Bank, ICICI Bank, Tata Steel, UltraTech Cement, and Power Grid were the top drags on the index.

The BSE Midcap and Smallcap indices outperformed the Sensex, rising by 0.43 per cent and 0.87 per cent, respectively.

Sector-wise, the Nifty Realty index declined by 1.3 per cent, followed by the Nifty PSU Bank index, which was down 0.4 per cent. On the upside, the Nifty Media index gained 1.2 per cent, and the Nifty Pharma index added 0.9 per cent.

Fed rate cut

The domestic market ended Wednesday’s session with gains, tracking largely positive global cues ahead of the Jackson Hole Economic Symposium. Investors are anticipating that U.S. Federal Reserve Chair Jerome Powell will provide clear guidance on the expected trajectory of rate cuts, which are anticipated to begin in September.

This year, the Federal Reserve’s Jackson Hole Economic Symposium, an annual conference, will be held from August 22 to 24, with Powell expected to speak on Friday.