After a slow and cautious start to 2026, Indian stock markets found their footing on Friday, January 02. What began as a hesitant session slowly turned confident as buying interest returned to banking, metals, and realty stocks. By the closing bell, the mood had clearly shifted.
The recovery was broad-based, steady, and supported by heavyweight stocks—enough to push benchmark indices decisively higher.
Market Performance: Benchmarks regain momentum
The rebound was visible across all major indices, with headline benchmarks closing comfortably in the green.
- Nifty 50 rose 0.70% or 186.60 points to close at 26,326
- During intraday trade, Nifty touched a fresh record high of 26,340, surpassing its earlier peak of 26,325
- Sensex gained 0.67% to settle at 85,762, though it remains 397 points below its lifetime high of 86,159
Heavyweights once again played a decisive role. HDFC Bank, ICICI Bank, and Reliance Industries together contributed nearly 85 points, accounting for 45% of the Nifty’s total gain, as per NSE data.
The broader market also moved in sync:
- Nifty Midcap 100 advanced 1%
- Nifty Smallcap 100 added 0.70%
The tone was constructive, with participation extending beyond just a handful of large names.
Sectoral snapshot: Banks lead, FMCG slips
The rally had a clear leadership—banking stocks.
Both public and private lenders saw renewed interest, lifting sectoral indices to higher levels.
- Nifty PSU Bank surged 1.83%, emerging as the top performer
- Nifty Realty climbed 1.62%
- Nifty Metal gained 1.43%
- Nifty Bank hit a new record high of 60,150
Other sectors also joined the upmove:
- Nifty Auto
- Nifty Consumer Durables
- Nifty Media
All closed with gains of over 1%.
The only notable exception was Nifty FMCG, which slipped 1.17%, ending the day as the sole laggard.
Main News: Over 50 Nifty 500 stocks post strong gains
The real action unfolded in the broader market. Fifty-five stocks from the Nifty 500 index ended the day higher, clocking gains between 3% and 11%.
Top gainers on Jan 02
- SJVN jumped 11.11% to ₹83.27, marking its biggest intraday rise since March 2024 and a more-than-one-month high
- IDBI Bank surged 10.6% to ₹115.70, its highest level since June 2014
- Transformers & Rectifiers gained 9.2%, closing at ₹336.4, rebounding sharply after a 39% fall in December
- Ola Electric Mobility advanced 9% to ₹40.9, extending gains for the second straight session
Auto and auto ancillary stocks also saw steady buying:
- JBM Auto: up 6.6%
- Olectra Greentech: up 4%
- Craftsman Automation: up 3.8%
- Minda Corporation: up 3%
Among PSU names, Coal India stood out.
- The stock rose 7% to ₹427.90 after the board allowed foreign coal buyers to participate in auction bidding, as disclosed in an exchange filing
Metal, energy, and new-age stocks join the rally
Metal stocks resumed their upward trend after a brief year-end pause:
- NALCO gained 5%
- Hindustan Copper rose 3.7%
- NMDC Steel added 3.6%
- Hindalco Industries climbed 3.4%
- GMDC advanced 3.3%
In renewable energy:
- Inox Wind rose 4.2%
- Suzlon Energy gained 3%
New-age consumer and technology-focused names also found buyers:
- Paytm advanced 3.8%
- Honasa Consumer rose 3.2%
Top losers on Jan 02: Selling pressure persists
While the broader market held firm, a few stocks remained under pressure.
- Reliance Infrastructure slipped another 5%, hitting a lower circuit at ₹164.50, marking its fourth consecutive session of losses
- Radico Khaitan declined 5% to ₹3,094, extending losses for a third straight day and touching a two-week low
- ITC saw continued selling for the second session, falling by another ₹350, taking its two-day decline to 13%
Other Nifty 500 stocks that closed with losses of over 2% included:
- Waaree Energies
- Dr Lal PathLabs
- Chennai Petroleum
- GE Vernova T&D India
- eClerx Services
- AstraZeneca Pharma
- APL Apollo Tubes
- Hyundai Motor India
Company details at a glance
- Highest single-stock gain: SJVN (+11.11%)
- Strong PSU movers: Coal India (+7%), IDBI Bank (+10.6%)
- New-age stock strength: Ola Electric (+9%), Paytm (+3.8%)
- Biggest laggard: Reliance Infrastructure (-5%)
Summary: What Jan 02 tells us?
Top Gainers & Losers on Jan 02 reflected a clear shift in market tone. After a muted opening to the year, buyers stepped back in—first through heavyweight banks and then across midcap and smallcap names.
The session was defined by:
- Strong participation beyond frontline indices
- Banking and metal stocks leading the charge
- Select stocks continuing to face sharp selling pressure
Overall, the market closed the day steadier, broader, and more confident—setting a clearer direction after the year’s slow start.
Source: Livemint
