Benchmark indices Nifty and Sensex managed to remain in the green even though just marginally after a sharp uptick in IT and Realty stocks. After last week's gain, the banking sector witnessed profit booking.

At about 11:35 am, the Sensex was up 0.18 percent at 79,620 and the Nifty was up 0.17 percent at 24,184. About 1,981 shares advanced, 1,338 shares declined, and 92 shares unchanged.

Experts suggest that the rally is driven by the resumption of foreign inflows and optimism about potential US Fed rate cuts. "From a long-term perspective, valuations in IT stocks look very attractive," said Kranthi Bathini, director of equity strategy at WealthMills Securities.

Among other sectors, Nifty Realty, IT, Infra, and Energy were the other gainers on the bourses with Realty being the top performer. Godrej Properties, DLF, and Sobha led the sectoral rally. Bank and FMCG sectors declined the most.

The broader market, which includes midcap and smallcap indices, underperformed the headline indices after the midcap index fell 0.2 percent, paring all gains after hitting a record high in the morning. The smallcap index rose 0.4 percent.

Fundamental View

"So long as this market construct holds steady, the market will remain resilient. It is worth repeating that some stocks in the broader market have bubble valuations and, therefore, they are vulnerable to a sharp correction," said V K Vijayakumar, Chief Investment Strategist, at Geojit Financial Services.

He also added that there is a sustained flow of money into the market through mutual funds, particularly through systematic investment plans (SIPs).

Technical View

"The Nifty remains robust with the technical uptrend intact as long as it holds above 24,000," Shrey Jain Founder and CEO of SAS Online said. Jain also added that Bank Nifty is forecasted to trade within the range of 52,500 to 53,000 today. Traders may look to initiate new long positions if Bank Nifty futures near the 52,600 mark, though strong resistance is anticipated at 52,700.

Key Nifty gainers

L&T, Wipro, Infosys, Hindalco, and Coal India.

Key Nifty losers

Kotak Mahindra, Shriram Finance, ICICI Bank, Bajaj Finance, and IndusInd Bank.

Stock Moves

Angel One: The stock fell as much as 10 percent following the Securities and Exchanges Board of India's (SEBI) new circular that revised the market intermediary charge mechanism. SEBI's new circular stated that Market Infrastructure Institutions (MIIs) like stock exchanges and clearing corporations should not give discounts based on turnovers.

CSB Bank: Shares jumped over 7 percent after the lender shared a business update on July 2 that showed strong growth in total deposits and gross advances for the June-ended quarter (Q1FY25). Its business update says that total deposits marked a 0.6 percent increase quarter-on-quarter (QoQ) to Rs 29,920 crore, while it was up 22.2 percent year-on-year (YoY) from Rs 24,476 crore.