Sensex Rises 350 Points and Hits Fresh High as Nifty Reaches Above 19,750
In today’s stock market live updates, the Sensex rose by 350 points, hitting a fresh high while the Nifty crossed the 19,750 mark. This positive trend was supported by a 2% gain in shares of Infosys. Let’s take a closer look at the market view and a preview of quarterly earnings announcements.
The global market construct continues to favor the bulls, according to Dr. V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services. The declining dollar and the capital flows to emerging markets have provided resilience to the market. However, the rally may be restrained due to high valuations and the possibility of profit booking. As a result, a healthy consolidation can be expected as a near-term trend.
Given the significant increase in the market, a correction could occur at any time. To mitigate potential risks, profit booking at the present level is advised.
The good results from HDFC Bank bode well for the Bank Nifty, and more positive results from banking stocks are expected.
In other news, several companies including IndusInd Bank, ICICI Pru Life, Polycab, and L&T Tech will announce their first quarter results today. This will provide further insight into the performance of these companies during the quarter.
Looking at the technical view of the market, Nifty has broken out of its nine-day consolidation zone and ended above the 19,700-mark. This has formed a long bull candle with a longer lower shadow. This chart pattern indicates that any minor dips are being bought into, further supporting the bullish sentiment.
Moving to international markets, Tokyo shares opened higher today as investors monitor the yen’s relative strength ahead of the upcoming corporate earnings season. The benchmark Nikkei index rose by 0.37 percent, while the broader Topix index added 0.38 percent.
Meanwhile, Wall Street ended on a positive note on Monday, driven by gains in financial and technology shares. Investors are awaiting the next round of quarterly results as earnings season gathers speed.
The rupee also gained against the US dollar, closing at 82.03 on Monday. The strength in domestic equity benchmarks reaching all-time high levels, coupled with weakness in the American currency overseas, boosted investor sentiments.
In the commodities market, oil prices edged higher after the previous session’s decline. Investors are closely watching for a possible tightening of U.S. crude supplies.
To summarize, the stock market is experiencing a positive trend with the Sensex rising 350 points and hitting a fresh high. The Nifty has crossed the 19,750 mark. However, it is important to be cautious due to the possibility of a correction and profit booking. Additionally, the upcoming quarterly earnings announcements will offer more insight into the performance of various companies. The global market construct continues to be favorable for the bulls, supported by the declining dollar and capital flows to emerging markets.
