Stock market today: Sensex rises 400 points, Nifty crosses 19,250
Indian stock markets have seen a significant surge today, breaking a two-week losing streak.
Mumbai: Indian stock markets have seen a significant surge today, breaking a two-week losing streak. This positive momentum can be attributed to the strong performance of auto stocks, driven by impressive earnings, and the rally in information technology (IT) stocks following the U.S. Federal Reserve’s decision to keep interest rates unchanged.
IT stocks have gained 1 percent, building on their Thursday gains, as the Fed’s monetary policy stance turned out to be less hawkish than expected. Indian IT companies rely heavily on revenue from the U.S.
The auto sector also saw a nearly 1% increase, with Tata Motors leading the way with a 2% gain after reporting robust quarterly earnings. It’s one of the top performers in the Nifty 50.
Mayuresh Joshi, head of equity research at William O’Niel India, has expressed optimism about India’s growth potential and its attractiveness for foreign investments, particularly after the Fed’s rate pause.
Analysts have noted that the margin of safety appears higher in large-cap stocks compared to small-cap and mid-cap stocks. Small-cap and mid-cap stocks have seen gains of 1.2% and 0.75%, respectively, outperforming larger blue-chip stocks, thanks to strong retail investments.
In the broader Asian equities landscape, the MSCI Asia ex-Japan index has also risen by 1.4%.
Individual stocks making headlines include Container Corporation of India, which saw a 5% jump in share prices due to strong logistics demand, and cement maker JK Lakshmi Cement, which climbed 6% thanks to better earnings and capacity expansion at its Surat plant.
Ms Kalinga