Mumbai – The Indian stock market ended Monday on a positive note, with widespread buying across sectors, particularly in auto and IT. Benchmark indices kicked off the week on a strong footing, continuing their upward momentum for a second straight session.
At the close of trade, the Sensex climbed 455.37 points, or 0.56%, to settle at 82,176.45, while the Nifty rose 148 points, or 0.60%, to close at 25,001.15.
Auto and IT stocks led the rally, with both the Nifty Auto and Nifty IT indices registering gains of 1% each. Buying activity was also seen across metal, realty, media, energy, commodities, and public sector enterprise (PSE) indices.
Investor interest extended beyond large-cap stocks, with mid- and small-cap segments also participating in the rally. The Nifty Midcap 100 surged 379.50 points (0.67%) to 57,067.25, while the Nifty Smallcap 100 rose 64.45 points (0.37%) to 17,707.80.
“The index formed a bullish candle with a higher high and higher low, indicating a continuation of the uptrend for the second straight session, supported by strong buying near the 20-day EMA. The outlook remains positive, and any dips should be seen as buying opportunities, with the index likely to move toward the 25,300 level in the coming sessions,” noted Bajaj Broking Research in a report.
Market sentiment was also buoyed by global cues. Observers pointed to the U.S. considering an extension of the deadline for imposing new tariffs on the EU, along with a fall in the dollar index, as key factors aiding the rebound in domestic equities.
These signs of progress in trade negotiations are expected to reduce market volatility.
Vinod Nair, Head of Research at Geojit Financial Services, added: “The early arrival of the southwest monsoon and a decline in domestic bond yields have boosted investor confidence in riskier assets. The broader market outperformed, driven by expectations of stronger rural consumption and robust Q4 GDP growth, supported by better-than-expected corporate earnings.”
Meanwhile, the Indian rupee appreciated by 24 paise to close at 85.09 against the US dollar, supported by continued weakness in the dollar index, which slipped to 98.93.
Looking ahead, Jateen Trivedi of LKP Securities said: “A slew of key U.S. economic data is scheduled this week, including Durable Goods Orders, FOMC meeting minutes, Q1 GDP, and the Core PCE Price Index. These are likely to keep USD-INR volatility elevated. The rupee is expected to trade within a range of 84.50 to 85.25 in the near term.”
With inputs from IANS