Sensex Today, February 24: PSU Banks Lead; IDFC First Bank, UPL Sink
Sensex today opened firm as Gift Nifty live signaled strength and global headlines aided risk appetite. BSE Sensex jumped 500+ points while Nifty 50 today held above 25,750. PSU banks led gains on steady credit trends. IDFC First Bank slumped after a fraud disclosure and UPL fell on leverage worries. Textile shares were mixed after the US Supreme Court tariff ruling, with traders also weighing reports of a temporary 15% global levy starting February 24.
Market Snapshot: Indices, Cues, and Breadth
Gift Nifty live pointed to a positive start, and domestic equities followed through. Investors assessed the US Supreme Court tariff ruling and reports of a temporary 15% global levy set to begin on February 24. The mix of potential tariff relief for some exporters and near-term levy uncertainty kept rotations active. Broader participation improved early, with metals, PSU banks, and select exporters drawing interest.
BSE Sensex climbed more than 500 points, while Nifty 50 today hovered above 25,750, according to the Upstox report. Dips were bought as traders focused on supportive domestic growth signals and stable inflation prints. Market breadth stayed positive for most of the day, with mid and smallcap names recovering selectively after recent profit taking.
Beyond global tariff talk, steady domestic demand, improving bank asset quality, and manageable crude prices supported risk appetite. PSU banks extended momentum on earnings visibility and reasonable valuations. Defensive pockets saw lighter interest as traders favored cyclicals. The rupee and bond yields stayed orderly, helping financials. Traders avoided overexposure to highly leveraged names, keeping position sizes tight around event risk.
Sectors: PSU Banks Outperform, Metals Lifted
PSU banks outperformed as investors rotated toward beneficiaries of public capex, deposit traction, and improving return profiles. The group continues to trade at a discount to private peers, keeping positioning active on dips. Better collection efficiency and contained slippages have improved confidence. The move also reflects preference for liquidity and earnings clarity while policy headlines around tariffs keep exporters volatile.
Private banks were mixed as strength in leaders was offset by weakness in select mid-tier names. The slump in IDFC First Bank weighed on sentiment in smaller lenders. NBFCs held range-bound as funding costs look stable near term, while investors tracked incremental updates on credit growth and asset quality. Financials remained the key swing sector for index direction into the close.
Metals and select export plays gained on hopes the US Supreme Court verdict could ease uncertainty for certain flows, while traders remained cautious ahead of any levy notifications. Textile shares traded mixed: Gokaldas Exports slipped about 4%, Kitex rallied near 11%, and Welspun India rose around 5%, per Economic Times. Positioning stayed tactical given fast-moving policy cues.
Stocks in Focus: IDFC First Bank, UPL, Textiles
UPL fell over 8% as leverage and cash flow concerns kept sentiment weak, as noted by the Upstox market update. Investors sought clarity on deleveraging timelines, asset monetization, and margin stability. Any progress on refinancing and inventory normalization will be key for rerating. For traders, risk control remained essential given elevated volatility and event-linked headline risk.
Textile names split after tariff headlines. Gokaldas Exports declined, while Kitex and Welspun India advanced, reflecting the differing product mix and exposure to US flows cited by Economic Times. Traders preferred liquid counters with cleaner balance sheets and stable orders, while awaiting final trade outcomes. Persistent currency moves and input costs remain the other key drivers for margin resilience.
Trading Plan: Levels, Risks, and Opportunities
For trend confirmation, Nifty 50 today holding above 25,750 keeps the bias positive. A decisive close above 26,000 can strengthen momentum. On BSE Sensex, sustaining above recent swing highs would support further upside. Given policy-driven volatility, traders can reduce leverage near resistance and re-add on confirmed breakouts with tight stops to guard against adverse gaps.
Short-term participants may favor buy-on-dips in strong sectors like PSU banks while avoiding crowded, high-beta pockets. Investors can prioritize balance-sheet strength, cash flows, and earnings visibility. In volatile names, stagger entries and use stop losses. Consider partial hedges around key events. Focus on companies with pricing power if tariff changes alter input costs or export pricing in the coming weeks.
Watch for formal notifications around the reported temporary 15% global levy and any clarifications that follow. Track updates related to the US Supreme Court tariff ruling and its transmission to Indian exporters. Keep an eye on crude prices, the rupee, and foreign flows for directional cues. Domestic corporate commentary on order books and margins will be critical for sector leadership.
Final Thoughts
Sensex today rallied as PSU banks led gains and risk appetite improved, while Nifty 50 today held above 25,750. The day’s action showed traders favoring earnings visibility and balance-sheet strength over leverage. Weakness in IDFC First Bank and UPL underlined the market’s low tolerance for governance and debt risks. Textiles were split as tariff headlines created winners and laggards.
Into the week, we suggest a measured approach. Keep positions light into policy updates on the reported 15% levy, add on confirmed strength above key levels, and protect downside with stops. For investors, focus on PSU banks and quality exporters with pricing power, while monitoring crude, the rupee, and foreign flows. Agility and discipline should help preserve gains if volatility rises again.
FAQs
Why did Sensex today rise over 500 points?
Sensex today advanced on supportive global cues, steady domestic macro trends, and strong buying in PSU banks. Gift Nifty live signaled a firm open, and traders assessed tariff headlines that could aid select exporters. Buying interest broadened through the session, helping BSE Sensex and Nifty 50 today hold gains despite weakness in a few large stocks.
What triggered the fall in IDFC First Bank?
The decline followed a fraud disclosure that raised near-term risk concerns. According to market updates, the stock fell sharply intraday as traders reduced exposure to guard against potential losses. Investors now await clarity on the financial impact, recovery measures, and control enhancements before reassessing the bank’s risk profile and earnings visibility.
Why did UPL underperform today?
UPL weakened on leverage and cash flow worries. Traders sought clarity on deleveraging timelines, asset monetization, and margins. Until there is better visibility on balance-sheet repair and operating cash generation, the stock can stay volatile. Risk management and staggered positioning are preferred while awaiting updates from management or lenders.
How does the US Supreme Court tariff ruling affect Indian stocks?
It introduced hope for relief in some exporter segments while creating uncertainty until final details filter through. Metals and some textile stocks reacted, with moves diverging by product mix and exposure to US demand. Investors are watching for official notifications, trade responses, and currency trends to gauge earnings impact over the next few quarters.
What is Gift Nifty live and why does it matter?
Gift Nifty live reflects futures trading in Gujarat’s IFSC zone and offers early cues for Indian equities. When it trades higher, it often signals a positive open for BSE Sensex and Nifty 50 today. It is not a guarantee of direction, but it helps traders plan entries and risk controls before cash markets open.
Disclaimer:
The content shared by Meyka AI PTY LTD is solely for research and informational purposes. Meyka is not a financial advisory service, and the information provided should not be considered investment or trading advice.