Sensex tops 80,000, Nifty hits four-month high led by IT gains

Indian equity markets extended their winning streak to a seventh consecutive session on Wednesday, with the benchmark indices scaling fresh multi-month highs, buoyed by strong earnings in the IT sector and robust gains in midcaps. The BSE Sensex climbed 521 points, or 0.65%, to close at 80,116 — its highest level since December 2024. The NSE Nifty also advanced 162 points, or 0.67%, to end at 24,329, reclaiming the psychologically significant 24,300 mark.

The rally was underpinned by a sharp surge in information technology stocks, following upbeat quarterly results from HCL Technologies. The Nifty IT index soared 4%, marking its biggest single-day gain in nine months, with all constituents closing in the green. Leading the charge were names like HCL Tech, Infosys, and Tech Mahindra, which rose between 3% and 6%.

Meanwhile, profit-booking was visible in banking counters, which have recently outperformed. The Nifty Bank index slipped 277 points, or 0.5%, to settle at 55,370. Heavyweights HDFC Bank and Kotak Mahindra Bank were among the top losers, dragging the index lower amid a sectoral rotation by investors.

Broader market action remained mixed. The Nifty Midcap 100 index rallied 644 points to close at 55,041, while market breadth was neutral with an advance-decline ratio of 1:1, indicating a balanced participation across sectors.

In the auto space, most stocks ended in the green, with Mahindra & Mahindra and Tata Motors among the top gainers. Sona BLW surged 6% after receiving positive commentary from Tesla, fueling optimism around its EV-linked prospects.

Life insurance stocks reacted to monthly business updates — HDFC Life slipped, while ICICI Prudential gained modestly. In pharma, Aurobindo Pharma rose 5% after receiving USFDA approval for a drug with a market potential of $1.8 billion.

On the downside, Muthoot Finance declined over 3% as gold prices softened, impacting sentiment in gold loan NBFCs. Havells India, despite reporting a strong Q4, fell 3% on muted forward guidance. The weak commentary also weighed on peers, with air conditioning majors Voltas, Crompton Greaves Consumer, and Blue Star closing lower by 1-3%.

Oil marketing companies slipped in trade as crude oil prices rebounded. All three major OMCs ended the day down between 1% and 3%, reflecting concerns over margin pressures.

Among notable movers, Waaree Energies surged 15% after reporting a strong Q4 performance, reinforcing positive investor sentiment toward renewable energy plays.

With the indices hitting fresh highs and sectoral churn underway, analysts say market participants will be closely tracking upcoming earnings, global cues, and central bank commentary for further direction.