On September 4th, Mumbai (PTI) - The benchmark equity indices, namely the Sensex and Nifty, displayed a second consecutive session of strong gains on Monday. These encouraging developments were driven by favorable domestic macroeconomic indicators in conjunction with a robust performance in global markets.
Additionally, the influx of fresh foreign funds and substantial buying activity in the IT and commodity sectors contributed significantly to the prevailing positive sentiment, according to market experts.
Specifically, the BSE benchmark Sensex exhibited a noteworthy climb, surging by 240.98 points or 0.37 percent, ultimately settling at 65,628.14. Throughout the trading day, it reached a high of 65,683.91, marking a jump of 296.75 points or 0.45 percent.
Similarly, the Nifty experienced a notable rise, advancing by 93.50 points or 0.48 percent, ultimately closing at 19,528.80.
Analysts noted that recent domestic macroeconomic data had presented an optimistic outlook for the domestic markets, enabling them to maintain their upward momentum. Despite some profit-taking observed in Nifty Auto after it reached an all-time high, the market swiftly regained its footing, primarily driven by robust buying activity in IT stocks.
The rise in the US unemployment rate has reinforced expectations of a pause in interest rate hikes, further contributing to positive market sentiment. Vinod Nair, Head of Research at Geojit Financial Services, stated, "The increase in the US unemployment rate has solidified expectations of a pause in rate hikes, and positive global cues have further boosted market sentiment."
In terms of individual stock performance, Wipro emerged as the top gainer within the Sensex pack, recording a substantial gain of 4.34 percent. This was followed by notable gains in HCL Tech, UltraTech Cement, Tata Steel, Tech Mahindra, NTPC, Infosys, Power Grid, Tata Consultancy Services, and State Bank of India.
Conversely, Mahindra and Mahindra, ITC, Axis Bank, Nestle, Kotak Mahindra Bank, and Asian Paints faced some downward pressure.
In the broader market, the BSE midcap gauge exhibited a strong performance, advancing by 0.96 percent, while the smallcap index saw gains of 0.84 percent.
Noteworthy sectoral performance included a significant 2.72 percent surge in the metal sector, a 1.94 percent rise in commodities, a 1.91 percent rally in utilities, a 1.74 percent gain in the IT sector, and increases in power (1.55 percent), teck (1.51 percent), and services (0.59 percent) indices.
