The Indian stock market capped off a strong week by extending its winning streak for an eighth consecutive session on Friday. Positive global cues and broad-based sectoral participation helped the benchmark indices close with significant gains. The Nifty 50 comfortably settled above the 25,100 mark, driven by optimism over a potential U.S. Fed rate cut and renewed India-US trade talks.
The S&P BSE Sensex jumped 355.97 points (0.44%) to close at 81,904.70. The NSE Nifty 50 index gained 108.50 points (0.43%) to end the week at 25,114.
Key Market Highlights
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Sensex: Gained 356 points to close at 81,904.70.
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Nifty 50: Climbed 109 points to settle at 25,114.
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Market Sentiment: Investor sentiment was bullish, supported by a mix of positive domestic and global factors. The market breadth was also positive, with about 1,922 shares advancing against 2,036 declining on the NSE.
Top Gainers and Losers
Financials, metals, and auto stocks were among the top performers, while the FMCG sector lagged.
| Top Gainers |
Top Losers |
| Bharat Electronics (BEL) |
Hindustan Unilever (HUL) |
| Bajaj Finance |
Wipro |
| Shriram Finance |
Trent |
| Hindalco Industries |
Eternal |
| Bajaj Finserv |
Bajaj Auto |
Sectoral Performance
It was a day of broad-based gains, with metals and financials leading the charge.
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Top Gainers: The Nifty Metal index was the top sectoral performer, closing with a gain of 0.93%, led by a 12% jump in Hindustan Copper. Financial services and auto sectors also advanced by 0.5% to 1%.
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Top Losers: The Nifty FMCG, PSU Bank, and Media indices ended in the red.
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Broader Markets: The positive momentum was also visible in the broader markets, with the Nifty Midcap 100 and Smallcap 100 indices gaining 0.3% and 0.6%, respectively.
Major News and Stock-Specific Action
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Infosys Buyback: Following the board's approval of its largest-ever share buyback worth ₹18,000 crore, Infosys share price saw modest gains. The buyback is expected to support the stock's price amid a weak discretionary spending environment.
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Defence Stocks Soar: Defence stocks, particularly Bharat Electronics (BEL), surged on fresh order wins, lifting the Nifty India Defence index by over 4%.
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JBM Auto Secures Investment: JBM Auto surged over 13% after its subsidiary, JBM ECOLIFE Mobility, secured a $100 million long-term investment from the International Financial Corporation (IFC) to electrify public transport.
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Inflation Data: India's retail inflation (CPI) for August came in at 2.07%, higher than the 1.55% recorded in the previous month.
Global Market Summary
Global stocks were on track for weekly gains, driven by expectations of a U.S. Federal Reserve rate cut.
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U.S. Markets: U.S. stock futures were slightly down after reaching new highs overnight. Investors are looking ahead to interest rate decisions from the Bank of England and the Bank of Japan next week.
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Commodities & Currency: Gold was set for a fourth consecutive weekly rise, trading near all-time highs. The Indian rupee strengthened by 17 paise to end at 88.27 per dollar.
Frequently Asked Questions (FAQs)
1. What fueled the market's rally today?
The market's eighth straight day of gains was fueled by a combination of favourable global cues, expectations of a U.S. Fed rate cut, and positive domestic developments like the Infosys buyback and strong order wins for defence companies.
2. Which sectors were the top performers?
The Nifty Metal index was the top performer, gaining nearly 1%. The financial services, auto, and pharma sectors also saw significant buying interest.
3. How did the broader markets perform?
The broader markets mirrored the positive sentiment of the benchmark indices, with the Nifty Midcap 100 and Smallcap 100 indices closing with gains of 0.3% and 0.6%, respectively.
4. What is the outlook for the market?
Analysts suggest that the Nifty is approaching its previous swing high of 25,150, which may lead to some consolidation. A decisive breakout in the banking index could be a major catalyst for fresh momentum.