Sensex Posts Partial Rebound, Gaining 600 Points from Day's Low Amid 1.4% Decline

Market Partially Recovers as Value Buying Emerges

The Indian stock market underwent a partial recovery on April 13, driven by value buying from lower levels. The benchmark indices, Sensex and Nifty, staged a comeback, with Sensex rising 600 points from its day's low and Nifty recovering nearly 0.9%.

At 10:53 hours IST, the Sensex was down 1,012.08 points or 1.31 percent at 76,538.17, while the Nifty was down 301.10 points or 1.25 percent at 23,749.50. The market saw 1,455 shares advance, 2,270 shares decline, and 150 shares remain unchanged.

Sectoral Performance

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Maruti Suzuki India and Eicher Motors were the worst-hit stocks in the 50-stock index, down 4% each. These companies were also among the worst-hit stocks in the Nifty 200 index. Other notable decliners included Axis Bank, Kotak Mahindra Bank, and State Bank of India, which were down 1-2.3%. Index heavyweight HDFC Bank was down over 2%. Stocks of financial services companies Shriram Finance, Jio Financial Services, and Bajaj Finance were also down 2-3%.

Reasons Behind Partial Market Rebound

The market rebound was attributed to several factors:

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1. Value buying: The market took support during the massive 2% gap-down opening, leading to value buying at lower levels. The Nifty reclaimed the 23,500 level, while realty and metal indices rose 1% from their day's low.
2. Foreign investor buying: Foreign institutional investors (FIIs) remained net buyers to the tune of approximately Rs 672 crore on April 10, while domestic institutional investors (DIIs) continued their buying with inflows of around Rs 410 crore.
3. Technical reason: Analysts said the Nifty is taking support at the 23,500 level, and further slide in markets will happen only if that level is breached.

Key Technical Levels

• 23,700 has emerged as the key short-term support level for the Nifty.
• A decisive break below this level could accelerate the decline toward 23,153.
• Any recovery attempts are likely to face stiff resistance at 23,990.