Markets opened on a cautious but slightly positive note on Friday, with the Nifty 50 rising to 23,690.15, up 35.45 points or 0.15 per cent, from its previous close of 23,654.70. The Sensex opened at 75,260.39 and climbed to 75,318.38, gaining 135.02 points or 0.18 per cent over its previous close of 75,183.36, as investors digested a mixed bag of global cues, crude oil movement and persistent institutional activity.

Gift Nifty had signalled a firm start, trading around 23,669 — up 153 points ahead of the session — driven by positive sentiment across Asian equities and easing geopolitical concerns.

Among the top gainers on the Nifty 50 in early trade, SBI Life Insurance led with a 0.84 per cent rise to ₹1,875.50, followed by Tata Motors (TMPV) at ₹364.30, up 0.82 per cent. Maruti Suzuki gained 0.75 per cent to ₹13,108, while Larsen & Toubro added 0.70 per cent to trade at ₹3,917.80. UltraTech Cement rounded out the top five gainers, rising 0.65 per cent to ₹11,549.

On the losing side, Max Healthcare was the sharpest decliner, falling 4.24 per cent to ₹1,044.80 on heavy volumes of over 7.45 lakh shares. ITC dropped 1.51 per cent to ₹303.40, while Infosys slipped 0.58 per cent to ₹1,174.40. Tech Mahindra fell 0.58 per cent to ₹1,411.70 and Power Grid Corporation was down 0.52 per cent at ₹298.

Thursday's session had ended on a flat note, with the Nifty closing at 23,654.70, down just 4.30 points. The index had opened with a gap-up at 23,830.05 and hit an intraday high of 23,859.90 before reversing sharply, shedding over 250 points from the day's peak. The Sensex similarly retreated nearly 950 points from its highs. The defense sector was a standout performer on Thursday, gaining 1.38 per cent.

Technically, analysts see the market stuck in a defined range. ..."The short-term structure of the market is non-directional, and range-bound activity is likely to continue," one technical analyst noted, flagging 23,500–23,400 on the downside and 23,800–23,850 as key resistance. A decisive breakout above 23,850 could open the path toward 23,950–24,000, while a slip below 23,400 may drag the index to 23,250–23,200.

Hitesh Tailor of Choice Equity Broking pointed to derivatives data for more context, noting call writing concentrated at the 23,700–23,800 strikes and put writing at 23,600–23,500, suggesting the market is sandwiched in a narrow band. ..."The inability of benchmark indices to sustain at higher levels in recent sessions suggests that traders may continue to witness stock-specific action along with intermittent volatility," he said.

Foreign Institutional Investors remained net sellers on Thursday, offloading equities worth ₹1,891 crore. Domestic Institutional Investors, however, absorbed the pressure with net purchases of ₹2,492 crore. Dr. VK Vijayakumar of Geojit Investments noted that FII selling continues to weigh on large-caps despite their relatively cheaper valuations. ..."Momentum is in SMIDs even though safety is in largecaps. This dichotomy will persist till FIIs turn buyers in India," he said, adding that retail traders need to handle the prevailing buy-on-dips and sell-on-rallies trend carefully.

Small and mid-cap stocks continued to see brisk activity, with companies reporting strong results drawing positive market response.

On the commodity front, crude oil softened after the United States reported encouraging signs of a potential deal with Iran. July Brent crude futures were at $104.24, down 0.66 per cent, while WTI July futures traded at $97.50, down 0.51 per cent. On MCX, June crude oil futures edged up 0.69 per cent to ₹9,406, and July futures rose 0.92 per cent to ₹9,125. The rupee also firmed, appreciating to 96.20 from the previous 96.96.

Globally, rising US Treasury yields, AI-driven banking expansion, and progress on US-Iran diplomatic talks supported sentiment. In Asia, Japan's inflation cooled to a four-year low, while China continued to expand solar exports and attract hedge fund interest in AI themes. Samsung's labor agreement in South Korea also eased concerns over potential production disruptions.

Gaurav Udani of ThinCredBlu Securities summed up the near-term view: ..."A breakout on either side is likely to decide the next trend, while until then, the market may continue to witness range-bound and volatile moves.”

Published on May 22, 2026