The stock market witnessed excitement for the fourth consecutive day. After the day's trading on Thursday, Nifty and Sensex closed with strong gains. Nifty closed at a 5-week high. While all sectors of the BSE saw a rise. Buying was also seen in midcap and smallcap shares. With today's rise, Nifty has now reached its highest level since February 13. Sensex and Nifty have risen by more than 1%. Nifty managed to cross 23,200 and Sensex 76,300 intraday. Nifty Bank also managed to cross 50,100 intraday. 5 reasons for the market's rise have emerged.
Fluctuations in these stocks today
Bharti Airtel closed with a 4% gain after news related to AGR dues. Titan remained at the top among the fastest growing stocks of Nifty. This stock also saw a rise of about 4%. Auto stocks like TVS Motor, Eicher Motors, Bajaj Auto and Hero MotoCorp were bought today and closed with gains of 1-3%. Buying in biggies like RIL, TCS, HDFC Bank and Infosys helped the Nifty rise.
Defence stocks continued to be bought today on news of fresh orders. Bharat Forge closed up 5%. But, despite a good trading session, IndusInd Bank and Bajaj Finance closed with losses. KEI Industries closed 13%, Polycab 7% and Havells 5%. They were hit today by the entry of Adani Group into the wire and cable industry. Paytm closed 4% on less government incentive for UPI. Positive brokerage notes impacted City Gas Distribution stocks and IGL closed 2% and MGL 3%. MCX rose after strong options data. The stock has gained 12% in 5 sessions. Due to the softness in crude oil, oil marketing companies saw a 1-3% increase.
Market Rally Fueled by Fed Optimism:
Global markets rallied, led by gains in the US, Australia, and South Korea, with a slight dip in Hong Kong. The US Fed held interest rates steady at 4.25%-4.50% and signaled two rate cuts this year. While Powell anticipates increased inflation due to potential Trump tariffs and reduced growth forecasts, he also stated that recession risk has decreased, boosting investor confidence. Bond yields rose as the Fed revised growth predictions. The Fed may also accelerate bond sales to strengthen its balance sheet. IT stocks led gains for the week, with Mphasis, LTI Mindtree, Wipro, Coforge, Infosys, and TCS all closing higher. Nifty Smallcap rose 1.50%, and Nifty Midcap gained 0.87%, with KEI, Welspun, Bharat Forge, and Thermax as top performers.