Closing Bell: Market Snaps 3-Day Losing Streak, Sensex & Nifty End With Mild Gains; Midcaps Outperform

The Indian stock market closed largely unchanged on Wednesday, December 11, after a volatile trading session. Gains in select heavyweights like Infosys and Bajaj Finance helped the benchmark indices snap a three-day losing streak, albeit with modest advances. The Sensex closed 16 points higher at 81,526, while the Nifty 50 edged up 32 points to 24,642, supported by late-hour buying in IT and midcap stocks.

Despite ending in the green, the market witnessed choppy trading throughout the day, dipping into negative territory multiple times. The broader market, however, maintained its outperformance, with the BSE Midcap index climbing 158 points (0.25%) to 59,293 and the Smallcap index gaining 0.35%.

Among sectoral indices, Nifty Bank fell 186 points to 53,391, dragged down by weak performances in financials, while the PSU Bank index slipped nearly 1%. On the positive side, IT stocks surged sharply in the last trading hour, lifting the index to close at the day's high.

Shriram Finance and Bajaj Finance emerged as the top Nifty gainers, rising up to 3% each. Meanwhile, Railway stocks, including IRFC, IRCON, RITES, and RVNL, rebounded from recent lows, recording gains of up to 5%.

Greaves Cotton continued its rally, ending nearly 6% higher than its intraday lows. PNC Infratech soared 15% after bagging a Rs 738 crore Hybrid Annuity Model (HAM) project. Aurionpro Solutions jumped 8% after securing a significant order in Saudi Arabia.

Awfis Finance surged 10% following a block deal that saw a 12% equity change hands. Delta Corp advanced 6%, boosted by positive comments from India's Chief Economic Adviser.

On the flip side, Avenue Supermarts fell 3% after global brokerage Goldman Sachs slashed its target price, and Swiggy declined 4% as its lock-in period ended.

The market breadth remained balanced, with the advance-decline ratio standing at 1:1, reflecting a mix of gains and losses across stocks. Midcaps and smallcaps continued to garner investor attention, outshining the benchmark indices with consistent buying interest.

A sharp recovery in IT stocks during the final trading hour boosted market sentiment, with the sector closing at its intraday high. Shares of Indian Railway-related companies showed strength after a period of consolidation.

While the benchmark indices managed to end marginally higher, the session highlighted underlying volatility, driven by global and domestic cues. Financials underperformed, weighing on the banking index, but strong midcap and smallcap participation signalled robust investor appetite beyond blue-chip stocks.

Analysts expect the market to remain range-bound in the near term, with a focus on macroeconomic developments, FII activity, and sectoral performance. IT and infrastructure could continue to drive gains, while headwinds for financials and select consumer-facing stocks may persist.