The Indian stock market witnessed a strong start on Thursday, with the BSE Sensex surging over 450 points in early trade, driven by positive cues from Asian peers. The 30-share benchmark index climbed 450.51 points, or 0.60%, to reach 75,059.49. Similarly, the broader NSE Nifty advanced 169.95 points, or 0.73%, to trade at 23,582.55.
Market Performance and Global Cues
The rally was broad-based, with gains led by banking, IT, and auto stocks. Positive sentiment in Asian markets, including Japan, China, and South Korea, provided a tailwind for domestic indices. Analysts attributed the uptick to easing concerns over global interest rates and improved risk appetite among investors.
Sectoral Highlights
- Banking: Major private and public sector banks witnessed buying interest, contributing significantly to the index gains.
- IT: Technology stocks rebounded after recent corrections, supported by strong earnings outlook.
- Auto: Automobile shares advanced on expectations of robust sales data.
Market breadth remained positive, with advances outnumbering declines on both the BSE and NSE. The volatility index eased, indicating reduced anxiety among traders.
Expert Insights
According to market analysts, the rally was also supported by short covering ahead of the weekly derivatives expiry. Foreign institutional investors (FIIs) turned net buyers in the previous session, adding to the positive momentum. However, they advised caution as global factors, including crude oil prices and geopolitical tensions, could influence future trends.
The rupee also strengthened against the US dollar in early trade, reflecting improved investor confidence. The broader market indices, such as the BSE Midcap and Smallcap, outperformed the benchmarks, gaining up to 1%.
Key Levels to Watch
Traders are now eyeing the 75,200 level for the Sensex and 23,650 for the Nifty as immediate resistance. On the downside, support is seen at 74,800 and 23,450, respectively. The market will continue to take cues from global developments and quarterly earnings reports.
