From Freefall to Fightback: Nifty Claws 445 Points Higher

After yesterday's brutal selloff, Nifty staged a relief rally, surging 445 points (2%) to close at 22,957. The index opened 366 points higher but quickly shed 275 points from its early peak in the first half, before bulls seized control in the afternoon, recovering over 400 points from the day's low of 22,624 amid wild swings. Despite the volatility, NSE cash volumes edged down 2% from the prior session.

IndiGo, L&T, and Bajaj Finance led Nifty gainers, while Coal India, Power Grid, and Adani Enterprises bore the brunt of selling pressure as top laggards.

All sectoral indices closed green, with Media, Private Banks, and Autos posting the sharpest gains; midcaps and smallcaps stole the show, as Nifty Midcap 100 climbed 2.60% and Nifty Smallcap 100 rose 2.63%. Market breadth flipped bullish, with BSE advance-decline ratio soaring to 2.27 after yesterday's collapse.

The rupee clawed back slightly, gaining 10 paise to end around 93.87/$ after Monday's record low near 94, fuelled by a 10% crude price drop following US President Donald Trump's de-escalation on Iranian energy targets.

Today's bounce kindles hopes for a sustained pullback, but follow-through gains are needed to signal a trend reversal. Nifty faces stiff resistance at 23,378, with support clustered near 22,600.

HSL Prime Research