Stock Market Highlights: Nifty, Sensex Extend Rally To End At Over Four-Month High; Infosys Contributes Most
The Nifty 50 ended 115.10 points or 0.48% higher at 24,282.35, and the Sensex ended 520.90 points, or 0.65% up at 80,116.49.
The NSE Nifty 50 and BSE Sensex extended their gaining streak to seventh day and finished at the highest level since mid December 2024. The rally in the benchmark indices got support from a rally in technology stocks. Infosys Ltd., HCLTech Ltd., and Tata Consultancy Services Ltd.'s share prices contributed the most to gains in the Nifty 50.
The Nifty 50 ended 115.10 points or 0.48% higher at 24,282.35, and the Sensex ended 520.90 points, or 0.65% up at 80,116.49. The Sensex reclaimed the 80,000-mark for the first time since Jan. 3.
During the session, the Nifty 50 rose 0.79% to the day's high of 24,359.3, and the Sensex rose 0.83% to the day's high of 80,254.55.
The Nifty jumped over 4% on Wednesday, as risk-appetite recovered in the US amid positive developments in the trade talks with partner countries, and ease in tension between US and China. Moreover, US President Donald Trump clarified that he's not intending to fire Federal Reserve Chair Jerome Powell.
Indian IT companies conduct most businesses with the US, thus any change in the economic and political landscape of the world's largest economy affects domestic companies as well.
The Nifty IT ended 4.34% higher at 35,414.65.
The Nifty Bank hit record high for third consecutive session. However, the index erased all losses to end 0.50% down at 55,370.
"However, after an impressive 11% rally from the April lows of 21,743, signs of fatigue among bulls are becoming evident. This is reflected in the formation of a Doji candlestick on the daily chart. While this pattern doesn't suggest a trend reversal, it does point towards a possible slowdown in momentum, hinting at consolidation or minor dips in the near term," said Sameet Chavan, head, research, technical and derivative, Angel One
Adding to this, hourly indicators are now in overbought territory, suggesting a more selective approach is warranted. A ‘buy on dips’ strategy may be more appropriate at this juncture, he said.
On the downside, the bullish gap in the 23,900–23,800 zone is expected to act as immediate support, Chavan said.
Shares of Infosys Ltd., HCLTech Ltd., Tata Consultancy Services Ltd., Mahindra & Mahindra Ltd., and Bharti Airtel Ltd. added to gains in the Nifty 50.
While those of HDFC Bank Ltd., Kotak Mahindra Bank Ltd., State Bank of India, Axis Bank Ltd., and ITC Ltd. dragged the index.
On National Stock Exchange, 11 sectors out of 15 advanced, and four declined. The NSE Nifty IT rose the most, and the NSE Nifty Finance declined the most.
The BSE Midcap outperformed benchmark indices, while the BSE Smallcap index underperformed the benchmark index. The BSE Midcap and Smallcap indices ended 0.94% and 0.26% higher, respectively.
Out of 21 sectoral indices, 18 ended higher, while three declined. The BSE Focused IT rose the most, while the BSE Consumer Durables declined the most.
Market breadth was evenly split between buyers and sellers. Around 1,062 stocks advanced, 1,036 stocks declined, while 16 stocks remained unchanged on NSE.
