Friday 22 / November / 2024
Mumbai: Indian markets on Thursday opened at a record high, with Nifty starting at 25,030.95 after gaining 92.15 points (0.37 per cent) from the previous close. The BSE Sensex also surged to a record high of 82,082 after opening at 81,949.68 points, with a gain of 208.34 points or 0.25 per cent.
According to the experts, the Indian markets were buoyed by favourable global market trends and a hint of a rate cut by Fed Chair Jerome Powell as early as September.
"The Fed chief signalling a possible rate cut in September is positive for global equity markets. More importantly, his comments that the US economy is normalizing are a shot in the arm for bulls. The dip in the 10-year US bond yield to 4.05 is sharp and may halt or even reverse the FII selling in the cash market in recent days," said V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services.
In the Nifty 50, Maruti, JSW Steel, Hindalco, Coal India, and Tata Motors emerged as top gainers, while Mahindra & Mahindra, BPCL, Infosys, Ultratech Cement, and Sunpharma were among the top losers. The broad market indices on the NSE also sustained the rally and opened with gains, and all sectoral indices opened on a positive note.
In the last six months, the Nifty 50 has surged more than 15 per cent, while the BSE Sensex has gained more than 14 per cent during the same period. The Indian markets have been rallying since the budget announcement by the central government on July 23.
"If both FIIs and DIIs turn buyers, the market can spurt today, but sustaining the rally would be difficult since valuations are getting stretched," added Vijayakumar.
The global markets showed mixed results, with Asia largely tracking Wall Street's gains. The Dow Jones and S&P 500 rose 0.24 per cent and 1.58 per cent, respectively, while the Nasdaq surged 2.64 per cent. The US dollar and Treasury yields fell post-Fed meeting. Brent crude prices rose by 0.8 per cent to USD 81.51 per barrel, continuing gains from the previous session.
