Domestic equities kicked off the week on a positive note, lifted by favourable global cues and strong buying in IT majors.
Sensex closed at 81,635.91 points, up 329.05 points or 0.40 per cent, while Nifty closed at 24,967.75 points, up 97.65 points or 0.39 per cent, respectively. Analysts say upside in the indices was limited due to profit-taking at higher levels.
Ajit Mishra, SVP – Research, Religare Broking Ltd, said: “Markets started the week on a positive note, gaining nearly half a percent on the back of favorable global cues. After an initial uptick, the Nifty slipped in early trade but recovered as strong buying in IT majors and resilience in heavyweights across other sectors lifted the index higher…In contrast, the broader markets remained subdued, closing almost flat, reflecting a cautious undertone.”
Investor sentiment was buoyed by easing global rate concerns.
Mishra noted that “comments from the U.S. Federal Reserve hinting at a possible rate cut next month boosted risk appetite across emerging markets.”
Steady institutional inflows and softening crude oil prices provided additional support, he added.
Vinod Nair, Head of Research, Geojit Financial Services, added: “The domestic levers stay positive with the proposed GST rationalisation to push consumption demand, and a good monsoon season could serve as a catalyst to navigate any uncertainty in the global trade environment.”
(ANI)
