Mumbai – Indian equity markets wrapped up the week on a positive note Friday, extending their winning streak to eight consecutive sessions despite ongoing geopolitical concerns.
Investor optimism was fueled by hopes of a potential US Fed rate cut, encouraging developments in India-US trade talks, and strong buying in defence stocks.
The Sensex climbed 355.97 points, or 0.44%, to close at 81,904.70. The index opened higher at 81,758.95 against Thursday’s close of 81,548.73, and further strengthened to hit an intraday peak of 81,992.85. The Nifty ended at 25,114, up 108.50 points, or 0.43%.
Markets closed at a three-week high, supported by global optimism on monetary easing and reports that the European Union may reject US tariff proposals against India over its purchase of Russian oil. Analysts said momentum was also aided by progress in India-US trade negotiations.
The defence sector outperformed after reports that Indian procurement authorities have begun talks for six new-generation conventional submarines.
Among Sensex gainers were BEL, Bajaj Finance, Bajaj Finserv, Axis Bank, Maruti, Tata Motors, ICICI Bank, L&T, Infosys, and PowerGrid. On the losing side were Hindustan Unilever, Trent, Asian Paints, Bharti Airtel, ITC, and Eternal.
Most sectoral indices ended higher. Nifty Financial Services rose 184 points (0.70%), Nifty Bank added 139 points (0.26%), Nifty Auto gained 122 points (0.46%), and Nifty IT climbed 107 points (0.3%). Nifty FMCG was the only laggard.
Broader markets mirrored the upbeat mood. Nifty Smallcap 100 advanced 114 points (0.64%), Nifty Midcap 100 gained 183 points (0.32%), and Nifty 100 closed 106 points (0.41%) higher.
The rupee also strengthened, closing 0.18% higher at 88.27, aided by mixed FII inflows.
“The dollar index remained weak below 98, lending strength to the rupee. Ongoing US trade talks and softening crude prices further supported sentiment,” said Jateen Trivedi of LKP Securities.
He added that the rupee may recover further with scope to test 87.75 in the near term, while 88.50 remains a key resistance level.
With inputs from IANS