The Indian stock market witnessed a strong rally on March 21, 2025, as the Sensex jumped 557 points and the Nifty 50 climbed 160 points, marking the fifth consecutive session of gains. Investors became richer by ₹4 lakh crore in a single day, as the BSE market capitalisation rose to ₹413 lakh crore from ₹409 lakh crore in the previous session.

The Sensex closed at 76,905.51, up 557 points or 0.73%, while the Nifty 50 ended at 23,350.40, up 160 points or 0.69%. This surge was driven by strong buying interest in banking and financial stocks, coupled with positive global cues and optimism over economic indicators.

What Drove the Rally?

Key drivers behind the rally included improving economic indicators, valuation comfort, and a fall in the dollar index. Foreign Institutional Investors (FIIs) have started buying Indian equities again, encouraged by the dovish stance of the US Federal Reserve, which hinted at two rate cuts in 2025. This has led to renewed fund flows into emerging markets (EMs).

Experts stated that the decline in risk-free rates and stability in the dollar are supportive of capital inflows into Indian markets, boosting sentiment.

Market Breadth and Sectoral Performance

Market breadth remained positive, with 2,120 stocks advancing against 804 declining on the NSE. The advance-decline ratio indicates broad-based buying, with nearly three stocks rising for every one that fell.

Sectorally, all indices except Consumer Durables (-0.77%) and Metal (-0.55%) closed in green. The Nifty Media index surged 2.20%, while Banking, Financial Services, PSU Banks, Private Banks, Pharma, Healthcare, and Oil & Gas indices gained over 1% each.

Mid and Small-Cap Outperformance

The BSE Midcap index rose 1.14%, and the Smallcap index surged 2.05%, outperforming large caps. This indicates renewed investor interest in broader markets, driven by valuation comfort and strong domestic fundamentals.

Top Gainers and Losers on Nifty 50

Top Nifty 50 Gainers:

• SBI Life Insurance: +3.43%
• NTPC: +3.29%
• ONGC: +2.72%

Top Nifty 50 Losers:

• Trent: -1.60%
• Mahindra & Mahindra: -1.45%
• Wipro: -1.38%

Most Active Stocks by Volume on NSE

1. Vodafone Idea – 71.9 crore shares
2. Ola Electric Mobility – 18.9 crore shares
3. Manappuram Finance – 14.64 crore shares
4. Zomato – 11.33 crore shares
5. GTL Infrastructure – 10.50 crore shares

Stocks Hitting 52-Week Highs and Lows

• 75 stocks hit 52-week highs, including Bajaj Finance, Kotak Mahindra Bank, Shree Cement, SRF
• 96 stocks hit 52-week lows, such as Bharat Gears, Natural Capsules, Smartlink Holdings

Stocks with Notable Gains (15%+)

• Valor Estate, AIONTECH Solutions, Balu Forge Industries, SML Isuzu, Arman Financial Services surged 15-20%

Key Stock-Specific News

• Bajaj Finance hit an all-time high of ₹9,089 as its board appointed Raajeev Jain as Vice Chairman and Anup Kumar as MD effective April 1.
• Va Tech Wabag surged after signing a $100 million term sheet with Norfund-led consortium for municipal water projects.
• Container Corp of India rose after a ₹192 crore order for 10 BLSS wagons from GATX India.
• Manappuram Finance soared on news of Bain Capital acquiring 18% stake for ₹4,385 crore, making Bain a promoter.
• Hindustan Construction (HCC) rose as its JV with Tata Projects won a ₹2,470 crore order from Tata Power for a 1,000 MW pumped storage project in Maharashtra.
• RailTel gained after bagging a ₹16.8 crore order from the Ministry of Defence for optical fibre cable laying.
• Bharat Heavy Electricals (BHEL) rose after winning a ₹7,500 crore order from Gujarat State Electricity Corporation for an 800 MW power unit.
• Hero MotoCorp surged as it approved acquiring 32.5% stake in Euler Motors for ₹525 crore, to enter the electric three-wheeler segment.
• Rail Vikas Nigam rose after a ₹554.6 crore order from NHAI for a six-lane road project in Andhra Pradesh.
• Unichem Laboratories gained as it expanded its API plant in Pithampur with ₹200 crore capex.
• Embassy Developments climbed after its subsidiary entered a ₹1,125 crore agreement with Lam Research India for land sub-lease in Bangalore.
• Larsen & Toubro (L&T) secured a ₹2,500-5,000 crore order from Brigade Group for projects in Hyderabad and Chennai.
• Ola Electric rose after clarifying that vehicle registration backlog, not regulatory issues, caused February sales data discrepancies.
• CBI arrested Power Grid’s GM Uday Kumar and KEC’s DGM Suman Singh on corruption charges involving a ₹2.5 lakh bribe.
• SML Isuzu surged as it announced leadership change with Junya Yamanishi resigning and Yasushi Nishikawa taking over.
• Ajanta Pharma rose as it planned to double its liquid formulation capacity with a ₹92 crore investment.
• Motilal Oswal reiterated a Buy on Gail India with ₹195 target, expecting 7% CAGR in gas volumes over FY25-27.
• Reliance Strategic Business Ventures (RIL subsidiary) acquired 74% stake in Nauyaan Shipyard for ₹382.7 crore, targeting energy and infra projects near Dahej.
• Adani Energy Solutions secured a ₹2,800 crore power transmission project in Gujarat, aimed at green hydrogen and ammonia production.

The Upcoming IPOs in this week and coming weeks are Arisinfra Solutions Limited, Desco Infratech Limited, ATC Energies System Limited, Shri Ahimsa Naturals Limited,Identixweb Limited.

The Current active IPO are Rapid Fleet Management Services, Active Infrastructures Limited,Grand Continental Hotels.

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