Sensex, Nifty gain for third day in a row; easing volatility to support bull trend
On March 13, the Sensex and Nifty rose for the third straight day, with the Nifty up 0.5% and the Sensex up 0.4%, led by gains in Reliance Industries, HDFC Bank, and ITC.
The rally follows a period of heightened volatility triggered by the pending Lok Sabha elections and mixed corporate earnings. Recent releases, including Reliance’s Q3 profit of ₹45.7 billion, have reinforced bullish sentiment, while the RBI’s steady policy stance and a VIX drop to 12.3 points have eased risk concerns.
Sustained gains indicate market confidence that the election cycle will not derail the upward trajectory. The easing volatility, reflected in the VIX decline, signals a shift from risk‑off to risk‑on behavior, yet the rally remains fragile; any sudden political developments or earnings misses could reverse the trend. Focus will be on how upcoming election results and the next earnings cycle influence risk appetite.
Retail and institutional investors are most affected, as the bullish trend may drive higher portfolio valuations. Traders should monitor the Nifty 50’s reaction to upcoming election announcements and the next earnings reports for signs of renewed volatility, with banking and consumer staples performance as key indicators.
- Elections and earnings drive bullish sentiment
- Volatility easing supports risk‑on trend
- Watch upcoming results for potential reversal