Closing Bell: Nifty Rebounds to 23,962 as Realty Surges and Morgan Stanley Turns Bullish on India

9 Jul 2026 , 04:48 PM

Indian benchmark indices bounced back on July 9, 2026, with Nifty rising 80.75 points to 23,962.80 and Sensex adding 238.22 points to close at 76,741.82, as investors bought into fundamentally strong stocks following Wednesday’s sharp sell-off. Realty led the recovery with a 3.54% surge, while Morgan Stanley’s bullish outlook on Indian equities and stable crude oil prices below $80 per barrel boosted sentiment.

Market Overview: Nifty, Sensex, and Bank Nifty Performance

• Nifty 50 closed at 23,962.80 up 80.75 points (0.34%)
• Sensex ended at 76,741.82, up 238.22 points (0.31%)
• Nifty Bank settled at 57,252.45, up 509.85 points (0.90%)

 

Top Gainers Today

1. Sun Pharmaceutical Industries Limited – closing at 1,940.70 up by 2.78%

2. Bharti Airtel Limited – closing at 1,935.10 up by 2.49%

3. Bajaj FinServ Limited – closing at 1,899.00 up by 2.38%

4. Inter Globe Aviation Limited – closing at 5,230.50 up by 2.08%

Top Losers Today

1. Maruti Suzuki India Limited – closing at 13,709.00 down by 1.73%

2. Oil & Natural Gas Corporation Limited – closing at 243.49 down by 1.42%

3. Infosys Limited – closing at 1,055.30 down by 1.31%

4. NTPC Limited – closing at 344.45 down by 1.22%

 

Trending stocks

1. Eternal Limited –

• Closed at ₹5,120.00, up 5.10%

⮚ Higher MSCI Weight Expectations Boosted Sentiment: Shares gained after reports suggested Eternal could be restored to its full weight in the MSCI August review, following a significant increase in its available foreign investment headroom.

⮚ Potential Passive Inflows Supported Buying: Analysts at Motilal Alternate Research estimated that a return to full MSCI weight could attract nearly $520 million in passive fund inflows, strengthening investor confidence in the stock.

⮚ Improved FII Headroom Removed Earlier Constraint: Eternal’s foreign investment headroom increased from 9.33% to over 25%, removing the restriction that had previously led MSCI to halve the stock’s index weight.

⮚ Positive Brokerage Outlook Reinforced Optimism: Motilal Oswal reiterated its ‘Buy’ rating with a ₹380 target price, citing strong long-term growth prospects in food delivery and Blinkit, along with the company’s guidance of achieving US$1 billion in adjusted EBITDA by FY29.

2. Dr. Reddy’s Laboratories Limited –

• Closed at ₹1,271.20, down 5.77%

⮚ Semaglutide Supply Delay Weighed on Sentiment: Shares declined after the company announced a temporary delay in the commercial supply of its semaglutide product due to an API-related quality issue identified in certain batches.

⮚ Quality Concerns Triggered Investor Caution: Certain semaglutide batches were found to be out of specification, prompting the company to investigate the root cause and implement corrective measures before resuming commercial supplies.

⮚ Delay in High-Growth GLP-1 Opportunity Raised Concerns: The postponement of semaglutide supplies dampened sentiment as the GLP-1 diabetes and obesity drug market is viewed as a key long-term growth opportunity for Indian pharmaceutical companies.

⮚ No Impact on Patient Safety or Regulatory Filings: Dr. Reddy’s clarified that the issue does not affect patient safety or its existing global regulatory filings, while reaffirming its commitment to maintaining product quality and ensuring reliable future supplies.

Sectoral Performance Index

Indices	Change
Nifty Realty	3.54%
Nifty Media	2.09%
Nifty Consumer Durables	1.68%
Nifty PSU Bank	1.62%
Nifty Cement	1.45%
Nifty Pharma	0.89%
Nifty Infrastructure	0.82%
Nifty FMCG	0.76%
Nifty Chemical	0.68%
Nifty Private Bank	0.62%
Nifty Financial Services Ex-Bank	0.60%

 

Sectoral Performance & Key Reasons

Realty (+3.54%) emerged as the top-performing sector as investors returned to interest-rate-sensitive stocks following Wednesday’s sharp market correction. Optimism over stable domestic macroeconomic conditions, continued FII inflows, and expectations of improving housing demand supported strong buying in real estate stocks. Media (+2.09%) also witnessed broad-based gains on improving market sentiment, while Consumer Durables (+1.68%) advanced as investors accumulated consumption-driven stocks after the recent sell-off. PSU Banks (+1.62%), Private Banks (+0.62%), and Financial Services Ex-Bank (+0.60%) gained as strong FII buying and expectations of healthy Q1 earnings improved confidence in financial stocks. Cement (+1.45%) and Infrastructure (+0.82%) moved higher on hopes of sustained domestic investment activity, while Pharma (+0.89%) attracted selective buying in defensive healthcare stocks. FMCG (+0.76%) and Chemicals (+0.68%) also traded higher as easing market volatility, resilient domestic demand, and bargain buying after the previous session’s sharp correction supported a broad-based recovery across sectors.

Main Reasons for Stock Market Up Today

1. Strong Rebound After Previous Day’s Sharp Sell-Off
   Indian markets witnessed a relief rally as investors bought into fundamentally strong stocks after Wednesday’s sharp correction. Short covering by traders who had earlier taken bearish positions further accelerated the recovery in benchmark indices.
2. Stability in Crude Oil Prices Eased Market Concerns
   Although crude oil prices remained elevated due to geopolitical tensions in the Middle East, Brent crude stayed below the $80 per barrel mark. Investors viewed this as manageable for the Indian economy, reducing fears of a severe impact on inflation and corporate earnings.
3. Strong Buying in Blue-Chip Stocks Supported the Recovery
   Heavy buying in large-cap stocks such as Reliance Industries, HDFC Bank, Bharti Airtel, and Sun Pharmaceutical Industries lifted the benchmark indices. The rebound in these heavyweight stocks helped the Sensex and Nifty recover from the previous session’s steep losses.
4. Positive Long-Term Outlook from Morgan Stanley Improved Sentiment
   Investor sentiment received an additional boost after Morgan Stanley turned bullish on Indian equities, citing improving economic growth prospects, macroeconomic stability, rising investment activity, and strong domestic liquidity. The brokerage’s optimistic outlook and expectation of positive Q1 earnings surprises encouraged fresh buying across the market.

Summary–

The Indian stock market ended higher on July 9, 2026, supported by a strong rebound in Realty, Media, Consumer Durables, and PSU Banks, while Eternal and Dr. Reddy’s Laboratories remained in focus on stock-specific developments.

• Realty led the rally as investors returned to interest-rate-sensitive sectors, while Media, Consumer Durables, PSU Banks, Cement, Pharma, Infrastructure, FMCG, Chemicals, Private Banks, and Financial Services also traded higher on improving sentiment, FII inflows, and bargain buying.

With Nifty 50 rising 80.75 points (+0.34%) to 23,962.80, Sensex gaining 238.22 points (+0.31%) to 76,741.82, and Nifty Bank advancing 509.85 points (+0.90%) to 57,252.45, market sentiment improved on the back of a relief rally, stable crude oil prices below $80 per barrel, strong buying in blue-chip stocks, and a positive long-term outlook from Morgan Stanley.