Sensex Surges 450 Points, Hits Fresh Record High; Nifty Above 19,050; Suzlon Gains 5%, Zensar Tech 3%

Live update at NPT 11:46 am. 

Indian equity markets opened at a fresh record high on Friday, propelled by improved sentiment following robust economic data from the US, which alleviated concerns of a potential slowdown. The Sensex surged by 450 points, or 0.65%, reaching 64,339, while the Nifty50 climbed 112 points, or 0.59%, to stand at 19,084 at around 9:27 am.

Investors exhibited broad-based buying across all major sectors, as all 13 major sectoral indexes recorded gains. Financial stocks with significant weightage performed well, rising by 0.74%. Furthermore, the midcaps and smallcaps touched fresh record highs and 52-week highs, respectively.

The Nifty 50 and Sensex indexes have been on an upward trajectory, reaching record highs on Wednesday, largely driven by the gains in some Adani group stocks and financials. The Nifty 50 has witnessed an impressive 9% increase this quarter, on track to deliver its best quarterly performance since September 2021.

In the Sensex pack, Power Grid and Asian Paints emerged as the top gainers, rising by 2-3%. Early trade also saw positive movements in Infosys, Tata Motors, Titan, Wipro, Bajaj Finance, and IndusInd Bank. Conversely, Tata Steel, Nestle, and ICICI Bank experienced some cuts.

The positive sentiment was further bolstered by favorable developments in the US market. Wall Street equities closed higher, driven by strong economic data. An upward revision in the first-quarter GDP, a surprising fall in jobless claims, and positive results from the US Federal Reserve's stress test collectively helped allay concerns of an impending recession.

On the sectoral front, Nifty IT surged by 1.57%, while Nifty PSU Bank rose by 0.97%. Financials, auto, FMCG, media, pharma, realty, consumer durables, and healthcare sectors also opened with gains. In the broader market, Nifty Midcap 100 advanced by 0.61%, and Nifty Smallcap 100 gained 0.49%.

In other news, Tata Communications witnessed a 4% decline in its shares after announcing the signing of a definitive agreement to acquire communication platform service provider Kaleyra, Inc. for $100 million on Wednesday.

Overall, the Indian stock market continues to showcase resilience and positive momentum, benefiting from improved global economic outlook and investor optimism.

Source: The Economic Times.