New Delhi (Agency): The benchmark equity indices, Sensex and Nifty, extended their upward movement for the second consecutive trading session on Monday. The positive momentum was driven by encouraging domestic macroeconomic data, along with a firm trend observed in global markets. The market also received a boost from fresh foreign fund inflows and significant buying activity in the information technology (IT) and commodity sectors.
The Bombay Stock Exchange (BSE) benchmark, Sensex, witnessed a rise of 240.98 points, equivalent to a 0.37% increase, closing at 65,628.14. During the trading day, the index jumped as much as 296.75 points, or 0.45%, reaching a peak of 65,683.91. The National Stock Exchange (NSE) Nifty gained 93.50 points, a rise of 0.48%, settling at 19,528.80.
Recent domestic macroeconomic data have contributed positively to the market’s momentum. Despite a minor period of profit-booking in Nifty Auto, the market regained its footing through robust buying activity in IT stocks. Additionally, the increase in the US unemployment rate has solidified expectations of a pause in interest rate hikes, further bolstering market sentiment.
Wipro emerged as the top gainer in the Sensex pack, rising by 4.34%. Other notable gainers included HCL Tech, UltraTech Cement, Tata Steel, Tech Mahindra, NTPC, Infosys, Power Grid, Tata Consultancy Services, and State Bank of India.
On the other hand, Mahindra & Mahindra, ITC, Axis Bank, Nestle, Kotak Mahindra Bank, and Asian Paints were among the laggards.
In the broader market, the BSE midcap gauge surged by 0.96%, while the smallcap index gained 0.84%.
Various sectors also exhibited positive performance. The metal sector saw a jump of 2.72%, commodities climbed by 1.94%, utilities rallied by 1.91%, IT gained 1.74%, power rose by 1.55%, and teck (technology) and services sectors registered gains of 1.51% and 0.59%, respectively. However, sectors such as FMCG and consumer durables underperformed.
The positive sentiment extended beyond India’s borders, as global stocks experienced gains on Monday. Reports suggesting a cooling US job market and fresh stimulus measures from China contributed to the optimistic outlook. Asian markets, including Seoul, Tokyo, Shanghai, and Hong Kong, ended their trading sessions with gains. Similarly, European markets traded in the green during early deals.
As the US observed the Labor Day holiday, American markets remained closed on Monday. The positive momentum in the Indian market was supported by favorable macroeconomic data, including an increase in manufacturing activities and growth in GST collections.
The positive market sentiment is reflected in technical analyses, with a positive crossover observed in the daily momentum indicator, indicating a buy signal. Analysts expect the Nifty to target levels of 19,650, with crucial support zones placed at 19,420–19,360.
The Sensex had concluded the previous trading session with a gain of 555.75 points or 0.86%, closing at 65,387.16. Similarly, the Nifty had risen by 181.50 points or 0.94%, ending the session at 19,435.30.