Indian stock market closed after a volatile session on November 4, supported by metals and PSU bank stocks. The Sensex gained 113.95 points or 0.19% to 60,950.36, and the Nifty gained 64.50 points or 0.36% to 18,117.20.
The market opened flat and soon fell into negative territory after mixed global signals, but buying in metals and PSU banks helped the index close higher.

“The Bank of England‘s policy announcement reflected the Fed’s outlook, dashing hopes of near-term policy easing. Although the domestic market saw a rebound of late, it was largely driven by pharma and IT sales. It was in the red zone as it continued due to concerns about an impending slowdown,” said Vinod Nair, Head of Research at Geojit Financial Services.

While foreign institutional investors (FII) continued to provide domestic support, the dollar and US Treasury yields surged after hawkish comments from central banks around the world, he added.

Adani Enterprises, Hindalco Industries, Bajaj Finserv, Adani Ports and JSW Steel were the biggest winners for Nifty. Hero MotoCorp, Dr Reddy’s Lab, BPCL, Cipla and HDFC Life were the biggest losers.

Among sectors, the Nifty Metal index was up 4% and the PSU Banks index was up 1%. The pharmaceutical index closed by 1% from the previous session. The BSE midcap index was flat, while the small-cap index rose 0.4%.

The metals index was up nearly 3% on the BSE, while the capital goods and oil and gas indexes were each up 0.5%. Fast-moving consumer goods, healthcare and information technology stocks sold off.

Among stocks, Amara Raja Batteries, Exide Industries and Aditya Birla Fashion & Retail surged more than 700% in volume.

Amara Raja Batteries, Adani Enterprises and Vedanta delivered long-term growth, while Aditya Birla Fashion & Retail, Coromandel International and Hindustan Petroleum had short-term gains.

Stocks including Rites, Raymond, Bank of South India, Vimta Labs, Union Bank of India, RailTel Corporation of India, Lemon Tree Hotels and Kalpataru Power Transmission hit 52-week highs on the BSE.

The market extended its consolidation, up nearly 0.5%. Amid the merger, the index has maintained a positive tone, a clear sign of buying interest.

Ajit Mishra, vice president of research at Religare Broking, reiterated their view of sticking with the industries and stocks the move involves, not the laggards. As a clue, the performance of global indices and earnings will continue to be in focus.

A recovery in European markets and gains in other Asian peers helped Indian markets bounce back and higher. While the Indian economy is not entirely immune to global challenges, recent robust economic data, such as substantial GST collections and rising IIP numbers, suggest that things may turn around in short to medium term.

Globally, traders hoped that interest rate hikes in significant economies would slow, bringing fresh optimism to stocks.

The bullish candle and uptrend formed on the weekly chart continue to be bullish for the market. If Nifty trades above the 10-day Simple Moving Average (SMA) (17,900), an uptrend wave could take the index to 18,300-185,00. If the index closes below the 10-day moving average, a slide to 17,800-17,700 is possible.