Diwali Muhurat Trading: Sensex and Nifty Experience Minor Setbacks
Market Overview
Mumbai: In the special Diwali Muhurat trading session held on Sunday, the benchmark indices Sensex and Nifty closed slightly lower as investors engaged in profit-taking following a week-long rally.
The 30-share BSE Sensex began the session on a positive note to celebrate the start of the Hindu calendar year Samvat 2083 but could not maintain its upward momentum. It fell by 28.62 points, or 0.04 percent, finishing at 80,999.40, with 16 stocks advancing and 14 declining. During the session, it reached a peak of 81,442.11, gaining 414.09 points, or 0.51 percent.
The NSE Nifty, comprising 50 shares, dropped 43.95 points, or 0.18 percent, concluding at 24,986.40 after an optimistic start.
Among the 30 companies listed on the Sensex, Mahindra & Mahindra, InterGlobe Aviation, Trent, Infosys, Bharti Airtel, and Axis Bank were the most significant losers.
Conversely, Sun Pharma, Tata Steel, Maruti, and Power Grid emerged as the top gainers.
Muhurat trading is a traditional market session held during Diwali, symbolizing the start of the new Hindu calendar year. It is believed that trading during this auspicious hour fosters prosperity and financial success for participants.
Unlike regular trading hours, which run from 9:15 AM to 3:30 PM, Muhurat trading is conducted for a shorter duration.
Investors saw their wealth increase by Rs 2.60 lakh crore, bringing the total to Rs 5,05,67,743.40 crore (approximately USD 5.37 trillion).
In the previous Samvat Year 2082, the BSE benchmark experienced a decline of 3,398.32 points, or 4 percent, while the Nifty fell by 838.25 points, or 3.24 percent.
On the last trading day of Samvat 2082, the Sensex surged by 1,718.01 points, or 2.17 percent, reaching a high of 81,028.02. The Nifty also rose by 493.75 points, or 2.01 percent, closing at 25,030.35.
Over the past week, the Sensex has gained 7,781.99 points, or 10.62 percent, while the Nifty has increased by 2,331.5 points, or 10.27 percent.
"After two years of stagnation, the market is poised to offer substantial returns to investors by next Diwali, driven by a combination of low valuations and robust earnings growth. A potential drop in oil prices, a stable currency, the return of foreign investors, a moderation in AI hype, and widespread earnings growth will support higher valuation multiples," stated Raamdeo Agrawal, Chairman and Co-Founder of Motilal Oswal Financial Services.
In related news, Foreign Institutional Investors (FIIs) purchased equities worth Rs 13,749.82 crore on Friday, as per exchange data.
US equity markets mostly closed higher on Friday.
The BSE SmallCap Select index rose by 1.18 percent, while the MidCap Select index increased by 0.22 percent.
Among the sectoral indices on the BSE, Realty, Focused IT, Top 10 Banks, Consumer Durables, PSU Bank, Bankex Private Banks index, and IT were the laggards.
In contrast, Healthcare, Industrials, Capital Goods, Hospitals, and Housing Finance sectors performed well.
"As the new Samvat year commences, the market's trajectory will hinge on corporate earnings, domestic growth, foreign fund inflows, global events, and crude oil price fluctuations," remarked Gaurav Garg, Head of Research at Lemonn.