Market Overview - The equity market experienced a rebound, with Sensex surpassing 85,200 and Nifty crossing 26,000, driven by optimism regarding an India-US trade deal and strong performances from IT and PSU bank stocks [1][2] - Sensex closed at 85,186.47, up 513.45 points (0.61%), while Nifty 50 rose 142.60 points (0.55%) to 26,052.65 [2] - Volatility decreased as India VIX fell to 11.84, indicating a supportive environment for market recovery [2] Sector Performance - The Nifty IT sector outperformed with a gain of 2.97%, while Nifty PSU Banks increased by 1.16% [5] - The Bank Nifty index recovered from initial weakness, closing at 59,216, up 0.54% [5] - Corporate earnings downgrades have largely stabilized, and the investment cycle is strengthening across sectors, contributing to a positive medium-term outlook [2] Stock Movements - Max Health, HCL Technologies, Infosys, Wipro, TCS, and Hindustan Unilever were among the top gainers in Nifty 50, while Tata Motors Passenger Vehicles, Coal India, Maruti, Bajaj Finance, and Adani Ports lagged [8] - Infosys announced an ₹18,000 crore share buy-back, positively impacting its stock and the IT index sentiment [8] - In the midcap segment, Coforge, Persistent Systems, and Bharat Forge saw gains of 3-4%, while Waaree Energies and Biocon declined by 2-3% [10] Investor Sentiment - Renewed investor confidence in the Adani Group, following lender support for their acquisition, has positively influenced market sentiment [12] - A shift away from AI-heavy investments has led to increased flows into emerging markets like India, contributing to its relative outperformance [7] Trading Activity - A total of 4,346 stocks were traded on the BSE, with 1,841 advancing and 2,338 declining [9] - 123 stocks reached a 52-week high, while 205 hit a 52-week low, indicating mixed market conditions [9]