Investors Close Muhurat Trading On A Cautious Note, Nifty Holds 25,000

Muhurat Trading News: Indian stock markets closed the special Diwali muhurat trading session on a cautious note. Investors choose caution over aggressive buying during the 70-minute -- from 2:20 pm to 3:30 pm -- trading window on Sunday.

The Nifty 50 ended marginally lower by 0.03 per cent at 25,023.70, while the Sensex edged up 0.10 per cent to settle at 81,109.86. The mixed closing reflected a largely range-bound session, with neither benchmark making a significant move in either direction.

The Nifty's ability to hold above the psychologically important 25,000 mark, however, offered some comfort to investors entering the new market year. The muted performance came after several consecutive sessions of gains, suggesting investors were in no hurry to book profits even after the recent rally.

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Muhurat Trading: Tradition, Not A Market Signal

Ajay Lakhotia, Founder and CEO of StockGro, told NDTV that the new market year had started in the familiar Muhurat Trading fashion, with a calm and slightly positive undertone. “Samvat 2083, the new market year, began the way Muhurat usually does: calm and slightly positive, with the Nifty closing around 25,000. After seven straight days of gains, investors held on instead of rushing to sell. That says a lot,” Lakhotia said.

He cautioned investors against reading too much into the special session, pointing out that Muhurat Trading is more about tradition than predicting the market's future direction. “Clearly this hour is about tradition, and is not a forecast. In the last ten years, the Muhurat session has never moved the Nifty by more than one per cent either way,” he said.

Samvat 2083: What Investors Should Watch 

The real test for Indian equities begins when regular trading resumes. Investors will be watching whether foreign investors continue returning to Indian markets, whether crude oil prices remain stable and how developments in the US interest rate outlook shape global capital flows. Corporate earnings and domestic economic growth will also remain important drivers of market sentiment in the coming weeks.

Gaurav Garg, Head of Research at Lemonn, told NDTV that the session reflected cautious optimism rather than strong buying interest. “Despite the mixed closing, the Nifty managed to hold above the psychologically important 25,000 mark, indicating some resilience after the recent rally,” Garg said. He added that the market's direction in Samvat 2083 would depend on corporate earnings, domestic growth, foreign fund flows, global developments and crude oil movements.

Meanwhile, Lakhotia said the previous week had seen foreign investor flows and oil prices work in India's favour, but the sustainability of these trends would matter more than the Muhurat session itself.