Nifty crosses 25,000 for the first time, Sensex hits all-time high
Mumbai:
Indian markets opened at a record high today, with the Nifty opening 92.15 points (0.37 per cent) higher at 25,030.95 from the previous close. The BSE Sensex rose 208.34 points, or 0.25 percent, to touch a record high of 82,082 after opening at 81,949.68 points.
According to experts, Indian markets were buoyed by favorable global market trends and Fed Chair Jerome Powell’s indication of interest rate cuts in early September.
“The Fed’s indication of a possible rate cut in September is positive for major global equity markets. More importantly, its comments that the US economy is normalizing is a shot in the arm for bulls. The 10-year US bond yield fell to 4.05. This is sharp and FII selling in cash markets in recent days. may close or reverse,” said VK Vijayakumar, chief investment strategist at Geojit Financial Services.
In the Nifty 50, Maruti, JSW Steel, Hindalco, Coal India and Tata Motors emerged as the top gainers, while Mahindra & Mahindra, BPCL, Infosys, Ultratech Cement and Sunpharma were among the top losers. Broad market indices on NSE also held the rally and opened with gains and all sectoral indices opened on a positive note.
In the past six months, the Nifty 50 has gained over 15 percent, while the BSE Sensex has gained over 14 percent during the same period. Indian markets have rallied since the Union government’s budget announcement on July 23.
“If both FIIs and DIIs turn buyers, the market may rise today, but the rally will be difficult to sustain as valuations expand,” added Vijayakumar.
Global markets showed mixed results, with Asia largely tracking Wall Street’s gains. The Dow Jones and S&P 500 rose 0.24 percent and 1.58 percent, respectively, while the Nasdaq gained 2.64 percent. The US dollar and Treasury yields fell after the Fed meeting. Brent crude rose 0.8 percent to USD 81.51 a barrel, continuing gains from the previous session.