Indian Equity Markets End New Year, January 1, 2026 Session Marginally Higher; Auto, Power Stocks Gain While FMCG Drag Persists

Indian equity markets closed the first trading day of January 1, 2026 on a mildly positive note, supported by selective buying in auto, power, and IT stocks. However, persistent selling pressure in FMCG and select financial stocks capped overall gains, keeping benchmark indices largely range-bound through the session.

Also Read: Indian Equity Markets Trade Flat on New Year’s Day January 1, 2026; FMCG Drag Offsets Gains in Power and Infra Stocks

Benchmark Indices Settle with Modest Gains

The NIFTY 50 ended the session at 26,146.55, up 16.95 points (0.06%). The index opened at 26,173.30, touched an intraday high of 26,197.55, and slipped to a low of 26,113.40, indicating consolidation near elevated levels.

Other indices posted moderate gains:

• NIFTY Next 50 rose 0.45% to 69,675.40

• NIFTY Financial Services advanced 0.19% to 27,666.80

• NIFTY Bank gained 0.22% to 59,711.55

The broader market outperformed the benchmark, reflecting selective risk appetite among investors.

Auto, Power and Select IT Stocks Lead the Gainers

Buying interest was seen in autos, NBFCs, power, and IT stocks, lending support to the indices.

• Bajaj Auto surged 2.59% to ₹9,585.00, emerging as one of the top gainers on the NIFTY.

• Shriram Finance gained 2.39% to ₹1,020.00, supported by steady interest in financial stocks.

• NTPC rose 1.99% to ₹336.10, tracking strength in the power sector.

• Eternal advanced 1.98% to ₹283.55, backed by healthy volumes.

• Wipro climbed 1.52% to ₹267.30, continuing its outperformance among IT peers.

These gains helped the benchmark stay in positive territory despite pressure from heavyweight FMCG stocks.

FMCG and Select Large-Caps Remain Under Pressure

FMCG stocks continued to act as a drag on the market, with sharp selling in ITC extending from the previous session.

• ITC plunged 9.69% to ₹363.95, witnessing exceptionally heavy volumes and the highest traded value on the exchange.

• Tata Consumer Products declined 1.57% to ₹1,173.30.

• Dr Reddy’s Laboratories slipped 1.53% to ₹1,252.00.

• Bajaj Finance fell 1.13% to ₹975.60.

• ONGC eased 1.03% to ₹237.90, despite broader strength in power stocks.

The sharp correction in FMCG names continued to offset gains in cyclical and infrastructure-linked stocks.

Market Breadth and Investor Sentiment

Market breadth remained mixed, with stock-specific action dominating trade. While auto, power, and select IT stocks attracted buying interest, defensive and consumption-focused stocks saw continued profit booking. Investors appeared cautious, preferring selective exposure rather than aggressive positioning at the start of the year.

Conclusion: January 1, 2026

Indian equity markets ended the New Year session with marginal gains, as strength in auto, power, and NBFC stocks was counterbalanced by sustained weakness in FMCG heavyweights, particularly ITC. With indices consolidating near record highs, market participants are likely to remain selective in the near term, tracking global cues, earnings expectations, and sector-specific developments for clearer direction.