In a dramatic reversal, benchmark indices Nifty and Sensex surrendered most of their intraday gains, exposing persistent market fragility. The day began on a high note, as strong cues from Asian markets helped snap a seven-day losing streak for frontline indices. However, late-session selling pressure erased the momentum, with the Sensex tumbling nearly 900 points from its peak and the Nifty shedding 262 points.

The market's optimism over easing foreign selling earlier during the day quickly turned to apprehension after reports emerged of Ukraine's armed forces launching their first ATACMS missile strike on Russian border territory. The geopolitical flare-up added a fresh layer of tension to an already cautious market atmosphere.

At close, the Sensex was up 239.37 points or 0.31 percent at 77,578.38, and the Nifty was up 64.70 points or 0.28 percent at 23,518.50. About 2197 shares advanced, 1,591 shares declined, and 95 shares unchanged.

Among sectoral indices, Nifty Realty and Auto were the top performers and posted gains of 1.5 percent each. Market experts believe that better-than-expected festive sales and a steep correction in the past month caused renewed interest in the auto sector today. Real estate majors like DLF, Lodha, and Godrej Properties lifted the index higher.

The IT index also erased most of its gains and closed just 0.8 percent higher, partially recovering from yesterday’s losses, when it had dropped by more than 2 percent. Top contributors were TCS, HCL Tech, and Infosys. Other decent performers included Nifty Bank, Healthcare and Pharma, all ending the positive.

he broader market, comprising mid-small cap indices, outperformed the headline indices with gains of almost a percent each. Despite the sharp bounce back, Vijayakumar of Geojit Financial Services suggests investors to not rush into grabbing these stocks as they have more downside potential. In contrast, quality largecaps are resilient and investors can stick to them, he added.

Four-wheeler major M&M closed over 3 percent to top the Nifty index after CLSA reiterated its 'outperform' rating, maintaining a target price of Rs 3,440. This indicates a potential upside of 16 percent from current levels. Insights from CLSA's engagement with M&M’s management revealed strong confidence in the automaker’s growth trajectory.

PSP Projects also jumped 10 percent on news that the Adani Group is in advanced discussions to acquire a majority stake in the Gujarat-based construction company. CNBC-TV18, citing unnamed sources, reported that the Adani Group is looking to purchase a 60.14 percent stake in PSP Projects from its promoters.

M&M, Tech Mahindra, HDFC Bank, Trent and Eicher Motors were the top gainers on the Nifty. Laggards included SBI Life Insurance, Hindalco, Reliance, HDFC Life, and SBI.

The market will remain shut on Wednesday, November 20, on account of Maharashtra Assembly polls.