Mumbai: The Indian stock market opened on a strong note on Thursday, driven by positive global cues and optimism over an end to the conflict in Gaza.
Buying momentum was observed in key sectors such as PSU banks and financial services, lifting major indices.
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Stock Market Performance
As of 9:22 AM, the Sensex surged 433.66 points or 0.57% to reach 77,157.74, while the Nifty climbed 135.95 points or 0.59%, trading at 23,349.15.
On the National Stock Exchange (NSE):
- 1,175 stocks were trading in the green.
- 139 stocks were in the red.
Key sectoral performances:
- Nifty Bank: Rose 526.50 points or 1.08% to 49,278.20.
- Nifty Midcap 100: Gained 774.70 points or 1.44%, reaching 54,673.70.
- Nifty Smallcap 100: Climbed 282.90 points or 1.63% to 17,636.85.
Global Market Cues
According to market experts, several macroeconomic indicators from the US are influencing global markets. The recent decline in the US dollar index and bond yields reflects shifting sentiments. Additionally, lower-than-expected CPI inflation in the US has reignited hopes for further interest rate cuts by the Federal Reserve in 2025.
The hope of a resolution to the ongoing conflict in Gaza has provided additional relief to global investors, contributing to the positive market sentiment.
Top Gainers and Losers
In the Sensex pack, the top gainers were:
- Zomato
- Adani Ports
- Tech Mahindra
- IndusInd Bank
- SBI
- UltraTech Cement
- Bajaj Finserv
Meanwhile, the top losers included:
- Hindustan Unilever Limited (HUL)
- ITC
- Nestle India
- Titan
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Global Market Trends
In the last trading session, US indices performed strongly:
- The Dow Jones rose 1.65% to close at 43,221.55.
- The S&P 500 gained 1.83% to reach 5,949.91.
- The Nasdaq climbed 2.45%, closing at 19,511.23.
Asian markets, including China, Bangkok, Jakarta, Seoul, Hong Kong, and Japan, were trading in the green, further boosting investor confidence.
Expert Insights
Market watchers suggest that investors focus on large-cap stocks, which have shown greater stability compared to mid and small caps. Sectors with high growth visibility, such as:
- Pharma and Healthcare
- IT
- Discretionary Consumption
These sectors are expected to remain resilient amidst market fluctuations.
Institutional Investments
On January 15, foreign institutional investors (FIIs) sold equities worth ₹4,533.49 crore, while domestic institutional investors (DIIs) bought equities worth ₹3,682.54 crore.
Outlook for Investors
With the Indian stock market riding on positive global cues, sectors like financial services, PSU banks, and growth-driven industries remain in the spotlight. Investors are advised to:
- Monitor global developments closely, including US inflation trends and geopolitical updates.
- Focus on resilient large-cap stocks and sectors with steady growth potential.
- Stay cautious in mid and small-cap investments amid market volatility.