Sensex Opening Bell: Market at new heights, Sensex-Nifty trading well
New Delhi| Domestic benchmark indices, Sensex and Nifty50, hit new record highs for the seventh consecutive session on Friday. However, the market lost its initial gains from IT stocks due to fall in financial stocks. At 9:02 am, BSE Sensex was seen trading at 85,870, up 34 points or 0.05%. Nifty50 was trading at 26,227, up 11 points or 0.04%. During this time, the Sensex was just 130 points away from reaching 86,000 points.
Nifty and BSE Sensex rose 3.3% and 3.5% respectively since the US central bank Federal Reserve cut interest rates significantly last Wednesday. This has increased expectations of increasing foreign investment in emerging markets like India. Foreign institutional investors (FIIs) have bought shares worth Rs 15,098 crore in the last six days, up Rs 13,452 crore from the six sessions before the interest rate cut.
Sensex stocks Infosys, Tech Mahindra, HCL Tech, TCS and Sun Pharma opened with gains, while Power Grid, Bharti Airtel, L&T, M&M and HDFC Bank opened with losses. IT companies, which would have remained the second largest contributor to key areas of the index and which receive a large portion of their revenue from U.S. customers, strengthened by 3.6%. The increase came after Accenture reported better-than-expected quarterly earnings due to strong demand for its AI services.
Nifty Metal registered a 1% rise after China announced aggressive economic stimulus measures, and this index maintained its upward trend. National Aluminum, Vedanta and Hindalco were the biggest gainers from the index. Among single shares, RailTel Corporation of India shares climbed as much as 4%. The company has achieved a project of Delhi Metro Rail Corp by making the lowest bid worth Rs 42.91 crore.
Sriram Subramanian, Founder and MD, InGovern Research Services, said, “Markets are touching new heights due to strong FPI and DII purchases”. Large Cap is very excited and ready to move on”
In Asian markets on Friday, Hong Kong’s Hang Seng index gained, rising more than 2.5 percent during the trading session. Other indices in the region showed a flat move, with Japan’s Nikkei225 up 0.10 percent, Taiwan’s index up 0.4 percent, while South Korea’s Kospi was down 0.04 percent. In US markets, modest gains were seen on Thursday. The S&P 500 grew 0.40 percent and the Nasdaq strengthened 0.60 percent. In European markets, France’s CAC index rose more than 2.2 percent, and closed with a strong rally.
