Sensex Jumps Over 700 Points, Nifty Reclaims 24,000 On Positive Global Cues
Indian equity markets opened on a positive note on Friday, with the Sensex surging more than 700 points and the Nifty trading above the 24,000 mark after Thursday’s range-bound session. Strong earnings from heavyweight companies, positive global cues and other supportive factors boosted investor sentiment.
The Sensex opened at 77,395.63 and touched an intraday high of 77,526.85, compared with its previous close of 76,741.82. The Nifty opened at 24,124.70 against its previous close of 23,962.80.
At the time of writing, the Sensex was trading at 77,441.52, up 699.70 points or 0.91 per cent, while the Nifty stood at 24,161.60, up 198.80 points or 0.83 per cent.
Sectorally, all indices were trading in the green, with Nifty IT emerging as the top gainer, rising 2.08 per cent, followed by the Nifty MidSmall IT & Telecom index, which gained 1.44 per cent in early trade.
On the BSE, Tech Mahindra, TCS, Infosys, HCL Tech, IndiGo, ICICI Bank, Asian Paints, Reliance Industries, BEL, Mahindra & Mahindra, Maruti Suzuki, HDFC Bank, Eternal and Kotak Mahindra Bank were among the top gainers. Bharti Airtel and Sun Pharma were the top laggards.
In the commodities market, gold prices edged higher on Friday as the U.S. dollar weakened. However, the yellow metal remained on track for a weekly decline amid concerns that escalating U.S.-Iran tensions could fuel inflationary pressures and prompt the U.S. Federal Reserve to maintain a hawkish monetary policy stance.
Spot gold rose 0.2 per cent to USD 4,128.92 an ounce as of 0303 GMT, although it was still set to record a weekly loss of more than 1 per cent. U.S. gold futures for August delivery were little changed at USD 4,139.50 per ounce.
Brent crude was trading at USD 76.57 per barrel after touching an intraday high of USD 76.66 per barrel.
Ajay Bagga, banking and market expert, said, “The positive momentum from Wall Street successfully carried over into Friday morning’s Asian trading session. Regional indices broadly moved higher, with Japan’s Nikkei leading the charge, while technology-heavy indices in Taiwan and South Korea found firm footing as bargain hunters rushed to snap up semiconductor giants after the recent spell of valuation anxiety.”
“The domestic bourses will look to immediately reclaim the psychological 24,000 mark as institutional liquidity remains robust and the broader indices seek to shrug off earlier weekly corrections,” he added.
Market analyst Vipin Dixena said, “Nifty is attempting a short-term recovery after the sharp sell-off, but the structure remains cautious because the price is only back near the 50-EMA around 24,150 and has not yet convincingly reclaimed the 24,300 zone. Immediate support is around 24,100, followed by 23,900-23,850, while resistance lies at 24,300. The RSI has bounced sharply from oversold levels, supporting a technical rebound, but a sustained move above 24,200-24,300 is needed to confirm that the panic phase is ending.”
