Daijiworld Media Network - Mumbai

Mumbai, May 20: Indian stock markets staged a sharp recovery in the final hour of trading on Wednesday, allowing benchmark indices to close in positive territory despite witnessing heavy intra-day volatility. Gains in oil & gas and automobile stocks helped lift investor sentiment during the closing session.

The NIFTY 50 settled at 23,659, rising 41 points or 0.17 per cent after fluctuating sharply through the day. The index touched an intra-day high of 23,690.90 and slipped to a low of 23,397.30 before recovering.

The BSE SENSEX also rebounded strongly from lower levels to close at 75,318.39, up 117.54 points or 0.16 per cent. During the session, the 30-share benchmark dropped to 74,529.41 before climbing to an intra-day high of 75,406.18.

Market analysts said selling pressure continued to emerge at higher levels, making the 23,700–23,800 zone a significant resistance area for the Nifty in the near term.

Experts noted that a decisive breakout above the 23,800 mark could strengthen bullish momentum and potentially push the index towards the psychological 24,000 level. On the downside, the 23,400 range is now being viewed as immediate support, while the broader 23,300 zone remains crucial for maintaining market stability.

Among individual stocks, Hindalco Industries and Bajaj Auto emerged among the top gainers on the Nifty, contributing significantly to the market rebound.

Broader markets also ended with gains, with the Nifty MidCap index advancing 0.49 per cent and the Nifty SmallCap index edging up 0.04 per cent.

Sector-wise, oil & gas and automobile counters outperformed the broader market as investors showed renewed buying interest in energy and auto shares. Meanwhile, FMCG and media stocks remained under pressure and ended among the weakest performers of the day.

Analysts said the late recovery in heavyweight stocks highlighted resilience in domestic equities despite weak sentiment during most of the trading session.

Investors are now closely watching the release of the US Federal Reserve’s April policy meeting minutes, which could provide fresh cues on the future interest rate outlook and influence global market direction.

Market experts added that the broader trend continues to remain range-bound with a slightly negative bias, while stock-specific and sector-focused opportunities are likely to dominate trading in the near term.