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Below the Quote on Market Wrap 02nd January 2026 from Mr. Ajit Mishra – SVP, Research, Religare Broking Ltd 

"Markets extended their gains on Friday and reclaimed record-high levels, marking a strong start to the New Year. The Nifty maintained a positive bias throughout the session and closed near the day’s high at 26,335, registering a gain of 0.73%. Sectoral participation was broad-based, with all sectors except FMCG contributing to the advance. Energy, realty and metal stocks emerged as the top performers. The broader markets moved in tandem with the benchmark, as midcap and smallcap indices gained between 0.78% and 1.03%, reflecting a clear improvement in market breadth.

Sentiment was supported by positive sector-specific developments, particularly stronger auto sales trends and an improving demand outlook across cyclical sectors. Select index heavyweights provided additional support, enabling the market to sustain its upward momentum despite the absence of strong global triggers, as several overseas markets remained closed due to holidays. Meanwhile, continued weakness in tobacco-related stocks weighed on the FMCG space following recent tax-related developments.

As anticipated, the Nifty has decisively crossed the key resistance at 26,200 and moved to a fresh record high. The prevailing trend remains positive, with the index now poised to gradually test the 26,500–26,700 zone in the near term. With broad sectoral participation excluding FMCG, participants are advised to focus on stock selection based on relative sector strength and favourable risk–reward opportunities."

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