Market Update: Indian Equities Extend Gains to Third Consecutive Session

Key Statistics:

• Sensex: rose 514.30 points (0.7%) to 76,585.15
• Nifty: advanced 173.45 points (0.74%) to 23,754.60
• Market Breadth: 2801 shares advanced, 746 shares declined, 150 shares unchanged

Sectoral Performance:

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• Nifty IT: gained 2.5% after recent losses, snapping a six-session losing streak
• Nifty Smallcap 100: rose 1.3%
• Nifty Midcap 100: rose 1.5%
• Metal Shares: declined, with the Nifty Metal index remaining in the red

Key Drivers:

1. Buying in IT Shares: Value buying in IT stocks drove the uptrend, with the sector witnessing a rebound after recent losses.
2. Firm Crude Prices: Crude oil prices declined, providing support to sentiment after the Iraqi government and Kurdish authorities reached a deal to resume oil exports via Turkey's Ceyhan port.
3. Strong Global Cues: Firm global cues, including gains in South Korea's Kospi and Japan's Nikkei 225, aided the rally.
4. Value Buying: Buying at lower levels supported the benchmarks, with the Sensex and Nifty rising about 2% so far this week.

Market Indicators:

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• India VIX: declined 5% to 18.84, indicating easing investor anxiety and improved risk appetite.
• Nifty 50: sustained momentum after achieving the 23,600 level, with a direct move above 23,700 required to target 23,990.

Technical Analysis:

According to Anand James, Chief Market Strategist at Geojit Investments, the Nifty has sustained momentum after achieving the 23,600 level. A breach of the 23,550 level could drag the index towards the 23,300-23,130 zone, though a sharp fall is less likely.