Mumbai | 09-Oct-2025, 15:45 IST — Filed on 09-Oct-2025, 15:30 IST via BSE/NSE closing data
Indian equities ended Thursday’s session on a firm note, with metal and healthcare stocks leading gains across the board. Both Sensex and Nifty managed to extend their positive momentum despite profit-booking in banks, reflecting rotational buying as investors positioned for the September-quarter results season.
Metals shine on demand optimism
- Steel & aluminium push higher: The Nifty Metal index rose over 2% as Hindalco, Tata Steel and JSW Steel posted strong gains. Traders attributed the up-move to firmer London Metal Exchange (LME) prices and expectations of stable demand in the October–December festive quarter.
- China factor: Hopes of fresh Chinese infrastructure stimulus also supported sentiment. “Global metal prices have found a floor, and with domestic demand staying resilient, Indian producers are well-positioned,” said a Mumbai-based dealer.
- Exports & rupee angle: A softer rupee against the dollar further bolstered earnings outlook for exporters.
Healthcare provides defensive comfort
- Pharma majors gain: Sun Pharma, Dr. Reddy’s, Cipla and Lupin were among the top movers, with the Nifty Pharma index advancing 1.5%. Gains were driven by expectations of steady US sales and healthy domestic growth in chronic therapies.
- Hospitals in focus: Shares of Apollo Hospitals and Fortis Healthcare extended their rally as patient volumes continued to normalize post-pandemic. Investors also looked for commentary on margins amid rising input costs.
- Flows into defensives: Analysts said healthcare’s strength reflects institutional flows into defensives ahead of volatile earnings season.
Banks see consolidation
- Profit-taking after rally: Private-sector heavyweights HDFC Bank, ICICI Bank and Kotak Bank eased slightly after recent highs. PSU lenders such as SBI traded flat.
- Watchlist items: Street remains focused on NIM trajectory, deposit growth and asset quality as Q2 earnings approach. Traders highlighted that banking remains a structural overweight but could consolidate in the short-term.
By the Numbers (Closing Snapshot)
| Index | Close | Abs Chg |
% Chg |
|---|---|---|---|
| Sensex | 82,172.10 | +398.45 | +0.49% |
| Nifty 50 | 25,181.80 | +135.65 | +0.54% |
| Nifty Metal | 10,975.20 | +220.45 | +2.05% |
| Nifty Pharma | 16,842.50 | +247.80 | +1.49% |
Market breadth & flows
Market breadth was supportive, with mid- and small-cap indices rising nearly 1%. Foreign portfolio investors (FPIs) were net buyers in cash markets, driven by flows into commodities and healthcare. Domestic institutions took some money off financials but stayed positive in autos and FMCG.
Technical view
- Nifty levels: Nifty’s close above 25,150 is seen as a strong sign of momentum. Next resistance lies near 25,350–25,400, while support remains at 25,000.
- Sensex watch: The Sensex, closing at 82,172, is eyeing its recent peak of ~84,000 as the next key hurdle.
Risks ahead
- Metal price volatility from global demand shifts.
- USFDA inspection outcomes for large pharma plants.
- Bond yield and liquidity shifts impacting bank multiples.
Outlook
Analysts expect sectoral rotation to remain the theme through October as Q2 earnings unfold. Metals could ride commodity cues while healthcare maintains its defensive appeal. Banks are likely to consolidate before results, leaving overall indices in a steady but selective uptrend.
