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Indian stock markets closed on a strong note Monday, with the Sensex gaining 611.90 points (0.75%) to end at 81,698.11 and the Nifty 50 rising 187.45 points (0.76%) to close at 25,010.60. The rally was primarily driven by Federal Reserve Chair Jerome Powell’s indication that the time for interest rate cuts may be approaching.
The Nifty opened at 24,906.10 and the Sensex at 81,388.26, both indices maintaining positive momentum throughout the day. At the BSE, 4,197 stocks were traded, with 2,189 advances, 1,860 declines, and 148 unchanged. Notably, 399 stocks hit 52-week highs, while only 23 touched 52-week lows.
Top gainers at BSE included JM Financial (11.61%), Gujarat State Petronet (11.61%), Prakash Industries (11.02%), Motilal Oswal Financial Services (10.25%), and Tata Elxsi (8.88%). Major losers were Orient Cement (-6.69%), PG Electroplast (-6.24%), Zydus Lifesciences (-5.96%), Reliance Power (-4.99%), and Syrma SGS Technology (-4.96%).
Among Sensex stocks, HCL Technologies (3.47%), NTPC (3.22%), Bajaj Finserv (2.84%), Tech Mahindra (2.50%), and JSW Steel (2.38%) were the top performers. Sun Pharma (-0.22%), Kotak Mahindra Bank (-0.26%), Nestle India (-0.42%), Maruti Suzuki (-0.45%), and Adani Ports (-0.54%) were the laggards.
Shrikant Chouhan, Head of Equity Research at Kotak Securities, stated, “...the benchmark indices witnessed promising uptrend rally... Technically, on the backdrop of positive global sentiments, our market opened with a positive note and after robust opening throughout the day, it maintained positive momentum.”
Ajit Mishra, SVP of Research at Religare Broking Ltd, commented, “...We maintain our optimistic outlook given the favorable global cues and recommend a ‘buy on dips’ strategy.” He also noted that while there has been selective participation from the banking sector, a lack of decisiveness among major private banks is restraining the momentum.
Avdhut Bagkar, Technical and Derivatives Analyst at StoxBox, noted, “...The Nifty extended its longest gaining streak in over a year, closing above the 25,000 mark at 25,010.30, up by 187.15 points.” He added that broader indices lagged behind, with the Nifty Midcap 100 up by 0.67% and the Nifty Smallcap 250 rising by 0.42%.
Vikram Kasat, Head of Advisory at PL Capital - Prabhudas Lilladher, added, “...Nifty is now back above 25,000 mark, only 68 points away from breaching its all-time high.” He also pointed out that valuations in the large-cap space are comfortable, with Nifty currently trading at 18.9x 1-year forward EPS, nearly at par with the 15-year average of 19x.
The broader market also participated in the rally, with the BSE Midcap index up 0.6% and the Smallcap index rising 0.2%. Sectoral performance was largely positive, with IT, metals, and realty emerging as top performers, while PSU banks faced some selling pressure.
Mandar Bhojane, Research Analyst at Choice Broking, provided technical insights, stating, “The Nifty trading near its all-time high level and sustaining above 25,000 indicates that the strong bullish trend is likely to continue, with potential targets of 25,200 and 25,400 in the coming days.” He also noted that 24,800 acts as immediate support, presenting a buying opportunity.
The INDIA VIX was positive, rising by 1.79 percent intraday and settling at 13.7950, indicating increased volatility in the market.
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