Indian benchmark equity indices, Sensex and Nifty, staged a significant rebound, ending a two-day losing streak, propelled by robust buying in key IT stocks and positive global market sentiment, reinforcing optimism around AI-related investments.
Key Points
- Indian benchmark equity indices, Sensex and Nifty, ended higher, breaking a two-day losing streak.
- The rebound was primarily driven by strong buying in blue-chip IT stocks, including TCS, Infosys, and Tech Mahindra.
- Positive cues from global markets, particularly Nvidia's strong earnings and optimistic outlook on AI investments, supported the IT sector.
- The 30-share BSE Sensex climbed 330.92 points to settle at 77,264.51, while the 50-share NSE Nifty rose 84.80 points to 24,175.65.
- Investors are awaiting comments from the Fed Chair at the Jackson Hole symposium for clarity on the US interest-rate outlook.
Benchmark equity indices Sensex and Nifty rebounded on Friday after two days of losses and ended higher, tracking buying in blue-chip IT stocks and a rally in global markets.
The 30-share BSE Sensex climbed 330.92 points, or 0.43 per cent, to settle at 77,264.51.
During the day, it jumped 424.38 points, or 0.55 per cent, to 77,357.97.
The 50-share NSE Nifty settled 84.80 points, or 0.35 per cent, higher at 24,175.65.
Top Performers and Laggards
Among the 30 Sensex firms, Tata Consultancy Services, Infosys, Tech Mahindra, HCL Tech, Titan and Eternal were the major winners.
ICICI Bank, UltraTech Cement, Asian Paints and ITC were among the laggards.
Brent crude, the global oil benchmark, dipped 0.17 per cent to $89.63 per barrel.
Global Market Performance
In Asian markets, South Korea's Kospi and Shanghai's SSE Composite index ended lower, while Japan's Nikkei 225 index and Hong Kong's Hang Seng index settled higher.
Expert Insights and Future Outlook
"Strong gains in IT stocks helped Indian equities close higher today.
"The sector was supported by Nvidia's strong earnings and upbeat outlook, which reinforced optimism around sustained AI-related investments and benefited firms involved in enterprise AI deployment and workflow integration.
"However, investor participation remained selective as markets awaited comments from the Fed Chair at the Jackson Hole symposium for greater clarity on the US interest-rate outlook and global liquidity conditions," Vinod Nair, Head of Research, Geojit Investments Ltd, said.
Foreign Institutional Investors (FIIs) offloaded equities worth Rs 298.26 crore on Thursday, according to exchange data.
