Mumbai, Sep 9 Benchmark indices closed with steady gains on Tuesday, driven largely by a strong rally in IT stocks, with Infosys leading the charge after the company announced that its board will consider a share buyback on September 11.
The Sensex stayed in the green throughout the day and ended 314 points, or 0.4 per cent higher, at 81,101.
The Nifty also followed suit and rose 95 points to close at 24,869. Technical analysts noted that the Nifty has reclaimed its 100-day moving average at 24,820, a sign of short-term bullishness.
“Momentum indicators have turned positive, with RSI crossing above 50, suggesting upward momentum. However, the index faces strong resistance around 25,000, and a breakout above this level is key for the next leg of gains,” an analyst said.
Infosys emerged as the top gainer among the Sensex 30 shares, jumping 5 per cent to Rs 1,504 and alone adding 217 points to the index.
Other major gainers included Adani Ports, Tech Mahindra, HCL Technologies, TCS and Bajaj Finserv, which advanced between 1 and 3 per cent.
On the other hand, stocks like Trent, Eternal and UltraTech Cement slipped by 1 to 2 per cent.
In the broader market, the Nifty MidCap and SmallCap indices also moved higher by 0.3 per cent.
Sector-wise, IT stocks were the standout performers, with the Nifty IT index climbing 2.7 per cent.
Meanwhile, India’s volatility gauge, the VIX, eased 1.8 per cent -- reflecting improved investor sentiment.
On the currency front, the rupee gained 0.18 per cent to close at 88.14 against the US dollar.
Market experts said the currency benefitted from a weaker dollar amid expectations of a US Federal Reserve rate cut.
“The rupee is likely to stay within a range of 87.75-88.50 in the near term, with any move below 87.75 opening room for further gains,” said Jateen Trivedi of LKP Securities.
Additionally, gold traded positive with gains of 0.50 per cent at $3654 on COMEX and 0.69 per cent at Rs 1,09,250 on MCX as prices factored in the highly expected Fed rate cut after weak jobs and payroll data, Trivedi added.
Disclaimer: This post has been auto-published from an agency feed without any modifications to the text and has not been reviewed by an editor