Sensex, Nifty Rebound; IT Soars, Midcap and Smallcap Extend Gains | Aug 20, 2025

Sensex, Nifty rise by early afternoon on August 20, 2025, led by a surge in IT stocks. Midcap, smallcap indices also advance; banks remain sluggish. See latest trends.

Sensex, Nifty Rebound as IT Soars, Midcap and Smallcap Indices Extend Gains | August 20, 2025, 1:30 PM IST

Indian equities bounced back strongly by early afternoon Wednesday, August 20, 2025, led by a spectacular rally in IT stocks and renewed appetite for midcaps and smallcaps. Sensex jumped 179.46 points (+0.22%) to 81,823.85, while Nifty 50 advanced 57.95 points (+0.23%) to 25,038.60. Risk-on tone returned despite sluggish bank stocks and an uptick in volatility.

Market Snapshot – 1:25 PM IST

IndexLTPChange% Chg
SENSEX81,823.85+179.46+0.22%
NIFTY 5025,038.60+57.95+0.23%
NIFTY BANK55,685.75-179.40-0.32%
NIFTY IT35,589.10+832.40+2.39%
India VIX11.86+0.07+0.59%
NIFTY Midcap 10057,912.35+247.70+0.43%
NIFTY Smallcap 10017,965.40+51.10+0.29%
  • IT sector surges: Nifty IT soared over 2.3%, powering the day's recovery amid strong global tech cues and fresh buying in large-cap tech names.
  • Midcap, smallcap momentum: Continued interest in midcap (+0.43%) and smallcap (+0.29%) shares expanded market breadth, with domestic institutions leading buying in select growth sectors.
  • Banks underperform: Nifty Bank dropped 0.32% as profit-taking and rotation into risk assets hurt leading financial names.
  • Volatility ticks up: India VIX edged higher but stayed below 12, suggesting measured moves and moderate risk-on sentiment.
  • Broader market recovery: Cap goods, healthcare, and consumer sectors joined the rebound, counterbalancing earlier profit booking in energy and metals.

Predictions & What to Watch

  • Nifty watch: Sustained trading above 25,000 could trigger momentum buyers; key support now near 24,950.
  • Sector focus: IT, midcap, and smallcap leadership to continue if bullish flows persist. Monitor for sector rotation and possible afternoon profit booking.
  • Risk alert: With ongoing volatility, traders should set stop-losses and avoid chasing stretched rallies.
  • Macro drivers: Global tech results, FII flows, and upcoming economic releases remain primary market movers.

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