Markets Surge as Nifty50 and Sensex Hit New Highs
Nifty50 surpasses 24,500 and Sensex climbs above 81,000, marking significant gains amid shifting FII strategies and global market conditions.
Monday’s trading session on the Indian equity market saw a stellar performance with Nifty50 surpassing the 24,500 mark and the BSE Sensex climbing above 81,000. These indices opened in the green, sparking optimism among investors and analysts alike.
Strong Market Opening
At 10:46 AM, Nifty50 was trading at 24,515.75 — a notable rise of 169 points or 0.69%. Similarly, Sensex marked an increase of 507 points or 0.63%, reaching 81,008.97. Market sentiment was buoyed by share-specific movements and the anticipation of key financial results from major companies such as M&M, Indian Hotels, Coforge, and CAMS.
Foreign Investors Reignite Rally
This rally continues amid a pivot in FII strategy in India. After months of selling, foreign institutional investors have turned into buyers, infusing Rs 40,145 crores into the market over the last 12 trading days. According to VK Vijayakumar, Chief Investment Strategist at Geojit Investments Limited, this shift is adding resilience to the market. However, geopolitical concerns may temper this FII-led upswing.
Global Influences at Play
Globally, US equities saw gains for two consecutive weeks. Positive economic indicators, coupled with potential improvements in the US-China trade scenario, are reflecting positively in the markets. Despite a weekend decision by OPEC+ to boost production, oil prices experienced a decline, impacting early trades. Meanwhile, the dollar’s recent weakness has provided a robust tailwind for the market’s performance.
Outlook and Potential Challenges
Gold prices edged higher on Monday, capitalizing on the dollar’s faltering strength, as investors look for clarity on international trade relations. While recession worries in the U.S. have somewhat eased, the market eagerly awaits concrete developments in U.S.-China trade talks and the Federal Reserve’s upcoming policy announcements, both of which will play pivotal roles in charting the future market trajectory.
Overall, the Indian stock market’s resilient performance against a backdrop of global complexities showcases its potential to navigate through volatility and thrive. According to Times of India
