Sensex extends rally, Nifty crosses 25,900 for third session as smallcaps lead gains

Domestic equity markets sustained their upward trend for a third consecutive trading session on Tuesday, with both benchmark indices advancing on broad buying interest from investors. The S&P BSE Sensex opened higher and maintained strength through the session, while the NSE Nifty50 reclaimed the 25,900 mark, reflecting persistent positive sentiment among market participants. Data showed that the Nifty Smallcap index outperformed the headline gauges, posting a moderate rise after a notable advance in the prior session, signalling renewed appetite for risk assets among traders. Domestic investors responded to supportive global cues and steady inflows, while broader indices showed improved breadth as a majority of shares across exchanges ended in positive territory. Sectoral performance was mixed, with cyclical segments recording stronger gains relative to defensive stocks. Dealer commentary pointed to sustained momentum underpinned by favourable technical positioning and selective value buying in mid and smallcap stocks. Market breadth favoured advancing issues and the broader buying bias was reflected in improved turnover across equity segments. Benchmark volatility remained contained and major support levels held firm, sustaining the market’s positive trajectory.