The Indian equity markets witnessed a robust surge on Friday as the benchmark Sensex soared by 556 points, marking its most substantial single-day gain in two months. Concurrently, the Nifty index closed above the 19,400 level, fueled by value-buying in power, metal, and oil stocks. This bullish trend was ignited by strong domestic macroeconomic data and favorable global cues.
The BSE Sensex, a prominent indicator of market sentiment, surged by 555.75 points or 0.86 percent, closing at 65,387.16 points, with 26 of its constituents concluding the day in positive territory. The index opened on a positive note and reached a day’s high of 19,435.30, but it briefly touched a low of 64,818.37.
Meanwhile, the broader Nifty index displayed remarkable strength, rising by 181.50 points or 0.94 percent to conclude the day at 19,435.30. Among the 50 Nifty stocks, 44 recorded gains while only six declined.
NTPC emerged as the top gainer among Sensex stocks, registering an impressive rise of 4.84 percent. Other major gainers included JSW Steel (3.37 percent), Tata Steel (3.33 percent), Maruti (3.24 percent), Power Grid (3.07 percent), IndusInd Bank (2.95 percent), Bajaj Finance (2.12 percent), and Tech Mahindra (2.22 percent).
On the flip side, Ultratech Cement, Sun Pharma, Nestle, and L&T found themselves among the day’s losers.
Vinod Nair, Head of Research at Geojit Financial Services, commented on the remarkable market performance, stating, “Domestic markets made significant gains, buoyed by favorable global cues, a higher-than-expected domestic manufacturing PMI, and positive GDP growth data.” Nair highlighted that this robust economic outlook has pushed key manufacturing sectors to lead the market rally, with strong sales figures generating heightened interest in auto stocks.
Official data released on Thursday revealed that the Indian economy grew by an impressive 7.8 percent in the June quarter, primarily driven by double-digit expansion in the services sector, retaining its position as the world’s fastest-growing major economy.
In the global arena, European markets also displayed positive sentiment, with Britain’s FTSE 100 rising by 0.5 percent, France’s CAC 40 edging up nearly 0.1 percent, and Germany’s DAX remaining relatively stable. Additionally, gains in US futures further supported the optimistic sentiment, with Dow futures up by 0.3 percent and S&P 500 futures rising by 0.2 percent.
Among Asian markets, Japan’s benchmark Nikkei 225 witnessed a 0.3 percent increase, South Korea’s Kospi added 0.3 percent, and the Shanghai Composite rose by 0.4 percent.
Global oil prices also experienced an upward trajectory, with the Brent Crude futures benchmark surging by 1.26 percent to reach USD 87.92 per barrel.
However, on Thursday, Foreign Institutional Investors (FIIs) were net sellers of domestic equities, offloading shares worth ₹2,973.10 crore, according to exchange data.
