Tue Jan 07 16:33:42 UTC 2025: ## Indian Markets Rebound After Two-Day Slump

**Mumbai, January 7** – Indian stock markets staged a significant recovery today, rebounding from two consecutive days of losses fueled by foreign institutional investor (FII) selling and concerns over the HMPV virus. The Nifty 50 index closed 0.39% higher at 23,707, while the Sensex gained 0.30% to finish at 78,199. This uptick was driven by positive global cues and the absence of escalating HMPV concerns.

Heavyweights like Reliance Industries, ICICI Bank, and HDFC Bank contributed significantly to the rally, although early gains were partially erased as investors booked profits later in the session. The broader market also performed well, with the Nifty Smallcap 100 index surging 1.35% to 18,673 and the Nifty Midcap 100 gaining 0.89% to 56,869.

All major sectoral indices except Nifty IT ended in positive territory, with Nifty Oil & Gas leading the charge with a 1.64% increase. Individual stocks also saw significant gains, with Kirloskar Brothers leading the Nifty 500 pack with a remarkable 16% jump.

Analysts remain cautious, however, citing continued FII selling driven by a strengthening dollar and rising US bond yields. While the market showed resilience today, the upcoming earnings season and further FII activity will be crucial in determining the near-term direction. Technical analysts have identified key resistance and support levels for the indices, suggesting a period of consolidation is likely. Investors are advised to exercise caution and seek professional advice before making any investment decisions.

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