Stock market indices Sensex and Nifty saw a substantial increase of nearly 1 percent on Friday, marking their fifth consecutive day of gains. This growth was attributed to fresh foreign investments and a rise in bank stocks.
The BSE Sensex, comprising 30 major stocks, surged by 557.45 points or 0.73 percent to close at 76,905.51. At one point during the day, it peaked at 77,041.94, a jump of 693.88 points or 0.90 percent. On the other hand, the NSE Nifty climbed by 159.75 points or 0.69 percent to reach 23,350.40.
Market experts pointed out that the US Federal Reserve had hinted at the possibility of two interest rate cuts this year, which boosted optimism in the domestic market. This led to a positive trend in stocks, with companies like NTPC, Bajaj Finance, Kotak Mahindra Bank, and Larsen & Toubro among the top gainers.
However, some stocks like Infosys, Tata Steel, and Mahindra & Mahindra witnessed a decline. Foreign institutional investors also showed interest in the Indian market by purchasing equities worth ₹3,239.14 crore on Thursday.
Vinod Nair, Head of Research at Geojit Financial Services, noted that the domestic market had a successful week with continuous recovery. The dovish signals from the US Fed, hinting at potential rate cuts, have attracted investors back to emerging markets, resulting in increased foreign investments.
In global markets, Asian stocks had mixed results, with Seoul ending on a positive note while Tokyo, Shanghai, and Hong Kong faced losses. European markets were trading in the negative territory, and US markets closed slightly lower on Thursday.
The global oil benchmark, Brent crude, dipped slightly to $71.85 a barrel. On the previous trading day, both the BSE Sensex and Nifty witnessed significant gains, with the Sensex crossing the 76,000 mark and the Nifty reclaiming the 23,000 level.