Sensex soars 583 pts, Nifty reclaims 25,050 led by financial, IT shares as market rises for 3rd day

Domestic equity benchmarks registered sharp gains on Monday, continuing to rise for a third straight trading session, with financial and IT shares being at the forefront of the rally. Both headline indices rose 0.7 per cent for the day, with the Sensex climbing up 583 points to end at 81,790.1 and the Nifty50 adding 183.4 points to its previous close to settle at 25,077.7. Among index heavyweights, HDFC Bank, Infosys and TCS were the biggest contributors to the gains in both headline indices, as upbeat quarterly updates from several banks over the weekend.

Top Nifty 50 gainers and losers

Max Healthcare Institute, Shriram Finance, TCS, Tech Mahindra, Apollo Hospitals Enterprises, Axis Bank, Eternal and Bajaj Finance -- rising between 2.1 per cent and 6.3 per cent for the day -- rose the most among the 33 gainers in the Nifty50 basket.

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On the other hand, Trent, Tata Steel, Adani Ports, PowerGrid, Eicher Motors, NTPC, Titan and ITC -- closing between 0.8 per cent and 2.3 per cent lower -- were the top losers in the 50-blue-chip pack.

Nifty Bank

The Nifty Bank -- whose 12 constituents include SBI, ICICI Bank and HDFC Bank shares -- rose 515.6 points, or 0.9 per cent, to settle at 56,104.9. Financial services stocks enjoy the maximum weightage of almost 37 per cent in the Nifty50.

HDFC Bank shares led the gains in the banking basket, rising 0.9 per cent for the day to close at Rs 973.8 apiece on BSE. During the weekend, the private sector banking behemoth registered 10 per cent and 12.1 per cent year-on-year growth in loans and deposits for the September quarter. Citi maintained a 'buy' rating on HDFC Bank after the news, keeping its target at Rs 1,180.

Midcap and smallcap shares

Among broader indices, the Nifty Midcap 100 and the Nifty Smallcap 100 gained 0.9 per cent and 0.3 per cent, respectively, reflecting sharp buying interest in midcap stocks relative to largecap and smallcap scrips.

Overall market breadth remained in favour of the bears throught the session, with an end-of-day advance-decline ratio of 7:10 on BSE.

All eyes on TCS Q2 results this week

Investors now await the onset of the domestic earnings season due this week, with Tata Consultancy Services (TCS) set to report its financial results on Thursday, October 9.

Last week, the market managed to escape an eight-day falling spree on Dalal Street that took away more than 3.0 per cent from each benchmark, owing to a combination of factors including the Trump 2.0 administration's 100 per cent tariff on branded and patented drugs imported into the US and sustained FPI outflows.