Sensex, Nifty extend gains to scale fresh peaks on firm global cues

Equity benchmark indices Sensex and Nifty marched higher to scale fresh lifetime closing peaks on Friday, tracking a largely firm trend in global markets and renewed foreign fund inflows amid the US rate cut hopes gathering momentum.

Buying in index majors Bharti Airtel, ICICI Bank and Infosys also fuelled the rally in domestic equities.

Rallying for the ninth straight session, the 30-share BSE Sensex climbed 231.16 points or 0.28 per cent to settle at an all-time closing high of 82,365.77. During the day, it jumped 502.42 points or 0.61 per cent to hit a record intra-day peak of 82,637.03.

A total of 2,228 stocks advanced, while 1,701 declined and 116 remained unchanged on the BSE.

In its best winning streak since its launch in 1996, the NSE Nifty soared 83.95 points or 0.33 per cent to hit a new lifetime closing high of 25,235.90, taking its victorious run to the 12th day in a row. During the day, it surged 116.4 points or 0.46 per cent to hit a new record intra-day peak of 25,268.35.

"Global markets are...resonating with the US Fed’s pledges of a rate cut in September. The US and Indian markets have regained the recent highs, reflecting the continuation of this optimism," said Vinod Nair, Head of Research, Geojit Financial Services.

On the weekly front, the BSE benchmark jumped 1,279.56 points or 1.57 per cent, and the Nifty soared 412.75 points or 1.66 per cent.

In nine days of rally, the BSE benchmark surged 1,941.09 points or 2.41 per cent. The Nifty zoomed 1,096.9 points or 4.54 per cent in 12 sessions.

"Nifty ended higher on Friday for the twelfth consecutive session, its best winning streak since its launch in 1996. Global shares mostly rose Friday as markets continued to be moderately optimistic about the prospects of technology companies helped by the prospect of lower interest rates amid signs of moderating inflation across the developed world," said Deepak Jasani, Head of Retail Research, HDFC Securities.

Among the 30 Sensex firms, Bajaj Finance, Mahindra & Mahindra, NTPC, Power Grid, Bajaj Finserv, Bharti Airtel and Tata Consultancy Services were the biggest gainers.

On the other hand, Tata Motors, HDFC Bank, Reliance Industries, Tech Mahindra and ITC were among the laggards.

In the broader market, the BSE smallcap gauge jumped 0.75 per cent, and the midcap index climbed 0.53 per cent.

All indices ended higher. Realty surged 1.88 per cent, healthcare jumped 1.41 per cent, utilities (0.77 per cent), commodities (0.70 per cent), teck (0.63 per cent) and services (0.61 per cent).

"Global shares mostly rose Friday as markets continued to be moderately optimistic about the prospects of technology companies helped by the prospect of lower interest rates amid signs of moderating inflation across the developed world," Deepak Jasani, Head of Retail Research, HDFC Securities, said.

In Asian markets, Seoul, Tokyo, Shanghai and Hong Kong settled with gains.

European markets were trading in positive territory. The US markets ended on a mixed note on Thursday.

Foreign Institutional Investors (FIIs) bought equities worth Rs 3,259.56 crore on Thursday, according to exchange data.

Domestic Institutional Investors lapped up equities worth Rs 2,690.85 crore.

"Continuation of accumulation of quality large-caps by the DIIs (Domestic Institutional Investors) and HNIs and the FIIs reducing their selling significantly and buying on certain days have contributed to the resilience of the market," said V K Vijayakumar, Chief Investment Strategist, Geojit Financial Services.

Global oil benchmark Brent crude climbed 0.08 per cent to USD 80 a barrel.

"Though the domestic market is currently showing a positive bias, the Indian Q1 GDP growth is expected to be moderate, while premium valuation and a lack of fresh triggers could see further momentum buildup in value stocks," Nair said.

The BSE benchmark jumped 349.05 points or 0.43 per cent to settle at an all-time closing high of 82,134.61 on Thursday, extending its winning momentum to the eighth day in a row.

Rallying for the 11th straight session, the Nifty surged 99.60 points or 0.40 per cent to settle at a new closing high of 25,151.95.

"Moody's upgraded India’s GDP rating forecast to 7.2 per cent for 2024 and to 6.6 per cent for 2025 (earlier estimates of 6.8 per cent and 6.4 per cent) on back strong broad-based growth. This, along with healthy MSCI inflow, took markets to new highs.

"We expect the market to continue its northbound journey with stock-specific action. Global macro data, which will be released during the week will continue to provide cues to domestic equities. Sector-wise, Auto will remain in focus as OEMs will announce their monthly sales numbers," Siddhartha Khemka, Head - Research, Wealth Management, Motilal Oswal Financial Services Ltd, said.