Stock market today: On Friday, 135 stocks hit their 52-week highs, including Aditya Birla Capital Ltd, Affle 3I Ltd, Anand Rathi Wealth Ltd, Bajaj Finance Ltd, Gujarat Mineral Development Corporation Ltd (GMDC), Waaree Energies Ltd, and Zydus Wellness Ltd.
In contrast, 53 stocks touched 52-week lows, with notable mentions All Time Plastics Ltd, Bhagiradha Chemicals & Industries Ltd, Dhruv Consultancy Services Ltd, and Laxmi Dental Ltd.The major domestic stock indices, Nifty 50 and Sensex, continued their upward trend for a second consecutive week, driven by weak U.S. employment data that increased expectations for an interest rate cut by the Federal Reserve next week.
The indices climbed 1.5% this week, bolstered by tax reductions on numerous goods in New Delhi and optimism surrounding the potential resumption of trade discussions with the United States.
On Friday, the Nifty 50 increased by 0.43% to reach 25,114, while the BSE Sensex rose by 0.44% to 81,904.7.
This marked the eighth consecutive daily gain for the Nifty 50, its longest winning streak in a year.
Vaibhav Vidwani, a Research Analyst at Bonanza, indicated that market gains were fueled by positive global signals, particularly a significant surge in Asian stock markets following softer inflation and employment figures in the US that strengthened predictions of an impending rate cut by the US Federal Reserve. This boosted global investors’ risk appetite for equities. Meanwhile, within India, ongoing strength in sectors such as automotive, pharmaceuticals, and metals supported the market rally as investors shifted their focus to themes surrounding manufacturing and infrastructure.
Vidwani noted that the sentiment in the Indian market remains positive due to favorable global conditions, particularly as investors anticipate continued monetary easing from major central banks and strong domestic capital inflows. This optimistic outlook is further reinforced by improving macroeconomic indicators and expectations of increased consumer demand during the festive period.
Investors are also keenly observing the results of the SEBI board meeting, which is expected to introduce significant policy changes like relaxed IPO regulations for larger firms and simplified guidelines to draw more foreign institutional investments, according to Vaibhav.
Nifty 50 Outlook
According to Hrishikesh Yedve, AVP Technical and Derivative Research, Asit C. Mehta Investment Interrmediates, the domestic benchmark index Nifty 50 started the day on a positive note, maintained buying interest, and finally settled on a positive note at 25,114.
“Technically, on the daily chart, Nifty 50 sustained above the trend line resistance and formed a bullish candle on both the daily and weekly charts, indicating strength. The immediate hurdle for the index is placed near 25,150; sustaining above this level, the index could attempt to test 25,500 level. On the downside, immediate support is seen near 24,820, where the 34-DEMA is placed. Thus, traders are advised to maintain a buy-on-dips approach in Nifty for the short term,” said Yedve.
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