Nifty50 Reclaims 22,500 Mark as Banking and Financial Stocks Lead the Charge

The National Stock Exchange (NSE) benchmark Nifty50 index opened on a positive note on Monday, March 17, 2025, and at 11:59 AM, it was trading 0.49% higher, crossing the 22,500 threshold. This upbeat momentum came as investor concerns over a potential US government shutdown eased, while anticipation built around the US Federal Reserve’s policy review scheduled later in the week.

Wall Street had ended the previous week on a strong note, with key indices registering gains between 1.7% and 2.6%. The positive sentiment carried over to Asian markets, which were also trading in the green, adding to the optimism in the domestic equities.

Market Breadth Favouring Advances

The market breadth remained skewed towards the gainers, with 33 of the Nifty50 constituents trading in positive territory, while 17 stocks were in the red. Leading the rally were key banking, financial, and IT stocks, including ICICI Bank, Axis Bank, Infosys, and Bajaj Finance.

IndusInd Bank also witnessed notable gains following reassurance from the Reserve Bank of India (RBI), which stated that the private lender’s financial health was stable and under active monitoring. This announcement helped boost investor confidence in the banking sector.

Sectoral Performance: Pharma and Financial Services Shine

Most sectors were trading in positive territory, with the Nifty Pharma and Nifty Financial Services indices emerging as the top gainers, advancing by 1.46% and 1.14%, respectively. The strength in the financial services sector was largely driven by strong performances from major banks and NBFCs.

Meanwhile, the Nifty Metal index also registered gains, rising 0.76%. The rally in metal stocks was fuelled by reports of China’s State Council unveiling a special action plan aimed at boosting domestic consumption. The initiative includes measures such as increasing household income and introducing a childcare subsidy scheme to reduce financial burdens and stimulate spending.

Conclusion 

With the Nifty50 reclaiming the 22,500 level, market participants will closely monitor global macroeconomic cues, particularly the outcome of the US Federal Reserve’s policy decision.

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