Market Overview
On March 5, 2025, domestic equity markets experienced a notable recovery, with benchmark indices such as the Nifty 50 and Sensex registering gains of approximately 1 per cent. This rise followed a prolonged phase of losses, and with this development, the Nifty 50 was on track to conclude a 10-day losing streak, an occurrence not recorded previously.
The rebound was observed across various sectors, with particular strength noted in information technology, automobile, and metal stocks. These advances offset losses in some prominent index constituents. Despite the upward movement, global financial uncertainties continued influencing the broader market context.
At the closing bell, the Sensex increased by 740.30 points (1.01%), ending at 73,730.23, while the Nifty 50 advanced by 254.65 points (1.15%), closing at 22,337.30. Market participation was largely positive, with 3,116 stocks advancing, 734 declining, and 85 remaining unchanged.
Global Developments
The United States's tariffs have impacted international financial markets, leading to reciprocal actions from other nations. The U.S. enacted a 25 per cent tariff on imports from Canada and Mexico, while Chinese imports now face a total tariff of 20 per cent after an additional 10 per cent duty was applied.
In response, Canada and China introduced countermeasures, imposing tariffs on U.S. goods. Furthermore, announcements of potential future tariffs targeting additional countries, including India, have contributed to concerns over possible disruptions in global trade and increased market volatility.
These tariff measures may influence inflation levels within the U.S., which could result in the Federal Reserve keeping interest rates elevated for a prolonged period. Such conditions may affect foreign investment flows, particularly towards emerging markets like India.
Company-Specific Updates
BSE Ltd.
Shares of BSE Ltd. declined by 3.5 per cent following an announcement from the National Stock Exchange (NSE) regarding adjustments to the expiry schedule for futures and options (F&O) contracts. Beginning April 4, weekly Nifty index F&O contracts will shift from expiring on Thursdays to Mondays. Additionally, all monthly Nifty F&O contracts will now expire on the last Monday of each expiry month.
Get full news here: BSE Share Price Decline Following NSE’s Change in Expiry Schedule
Coforge Ltd.
Shares of Coforge Ltd. saw an increase of over 8 per cent after the company revealed details of recent strategic activities, including:
- Two acquisitions.
- A significant long-term agreement valued at $1.56 billion over 13 years with Sabre Technologies, a U.S.-based travel technology company.
- A stock split.
Under the agreement, Coforge aims to support Sabre Technologies in advancing product delivery and developing solutions driven by artificial intelligence (AI). The collaboration focuses on accelerating innovation enhancing speed and scalability in AI-powered product development.
Read Full News Here: Coforge Share Price Rises 7% Post Stock Split and Acquisitions Announcement
Sectoral and Broader Market Performance
The broader market also experienced considerable momentum. The BSE Midcap and BSE Smallcap indices recorded increases exceeding 2 per cent each. Notably, all 13 major sectoral indices ended the session in positive territory, with the following sectors leading the gains:
- Nifty Auto
- Nifty IT
- Nifty Energy
- Nifty Metal
- Nifty PSU Banks
- Nifty Realty
These sectors posted gains in the range of 2 to 4 per cent.
Within the Nifty 50, leading gainers included:
- Adani Ports
- Tata Steel
- M&M
- Adani Enterprises
These companies recorded advances of 4 to 5 percent.
Conversely, the top decliners were:
- Bajaj Finance
- HDFC Bank
- ICICI Bank
These stocks registered losses between 1 to 3 per cent.
Summary
The domestic stock market registered a notable rebound on March 5, 2025, with broad-based participation across sectors and indices. Gains in technology, automobile, and metal stocks contributed significantly to the recovery. Meanwhile, developments in global trade policies, particularly regarding tariff implementations, continued to introduce uncertainty to the financial environment.
Corporate updates, such as the expiry shift by NSE impacting BSE Ltd. and strategic moves by Coforge Ltd., also played a role in individual stock performances. Despite the day's recovery, broader global conditions and structural market levels continue to influence the outlook, with attention remaining on ongoing economic and geopolitical factors.
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