Indian Markets Pare Gains as GST Reform Momentum Fades

Indian equities retreated from morning highs by midday Thursday, with the Sensex and Nifty surrendering most of their early rally despite initial Optimism around the GST Council's tax reforms. The 30-share Sensex traded at 80,838.17, up just 0.34% after briefly crossing 81,456 at open. Similarly, the Nifty 50 gained 0.26% to 24,778.60 after touching 24,980.75 in early trading.

Mahindra & Mahindra led gainers with a 5.74% surge, while Bajaj Finance and Bajaj Finserv ROSE 4.34% and 2.37% respectively. The consumer sector underperformed, with Tata Consumer Products dropping 2.41% and HDFC Life falling 1.56%.

Market participants appeared to discount the GST rationalization's immediate impact, focusing instead on broader macroeconomic concerns. The midday pullback suggests traders are taking profits after Wednesday's reform-driven rally, awaiting clearer signals on demand revival from the tax changes.