Nifty reclaimed 20,000 for first time since September 2023. While, the BSE Sensex was trading 360 points at 66,535 at around 9.45 am
Fed governor Christopher Waller flagged the possibility of lowering the interest rate in the months ahead if inflation continued to come down.
From the Sensex pack, Bharti Airtel, Wipro, Tech Mahindra, M&M, and HCL Tech opened higher, while only Sun Pharma, Power Grid, and NTPC opened lower.
Among individual stocks, BHEL rose nearly 4% after the Defence Ministry signed a contract with company worth Rs 2,957 crore to procure 16 upgraded super rapid gun mount and accessories; also inks a Memorandum of Cooperation with French state-owned Électricité.
Shares of Aster DM Healthcare also rose 7.5% after the company’s Board approved the sale of GCC entities to Alpha GCC Holdings for $1.01 billion.
Following the dovish commentary from a US Fed official elevated bets of rate cuts, Nifty IT jumped 1.4%, led by Mphasis, Persistent Systems, and Tech Mahindra. Meanwhile, Nifty Bank, Auto, Financials, FMCG, Metal, and Realty also surged.Experts Take
“Since the global market backdrop continues to be favourable, the rally in India is likely to continue. The drop in US 10-year bond yield to 4.3% and the dollar index dropping below 103 are positive for equity markets,” said V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services.
“Investors should take cues from the wisdom of the investment legend Charlie Munger who died yesterday. Munger advised investors: “Don’t be gamblers, be patient investors.”There is a lot of gambling happening in the market now in low grade stocks. These should be avoided. Investors should buy quality stocks which are fairly priced, and wait patiently. There is value in largecap banking, IT and autos for patient investors,” Vijaykumar suggested.
Deven Mehata, Research Analyst at Choice Broking, said, “According to the charts Nifty may be taking support at 19850, followed by 19,800 and 19,750. On the higher side, 20,000 can be an immediate resistance, followed by 20,100 and 20,150.”
MORE TO COME…