Mumbai’s financial markets showcased notable resilience on Wednesday, with the BSE Sensex achieving a significant milestone by crossing the 66,000 mark, ultimately settling at 66,005.20. Simultaneously, the Nifty 50 index also experienced an upward trend, reaching 19,809.55. This remarkable surge was largely attributed to the robust performance of heavyweight Reliance Industries, contributing to a broader global market recovery, despite sustained foreign fund withdrawals.
The impressive performance of Indian equity benchmarks mirrored gains observed in other Asian markets and followed a positive session on Tuesday. The Sensex had concluded at 65,930.77, and the Nifty settled at 19,783.40 the previous day. The driving force behind this upward momentum was linked to softer US bond yields, hovering around 4.41%, and robust buying in large-cap stocks, notably Bharti Airtel and HDFC Bank.
Despite overall market gains, certain sectors demonstrated a contrasting performance on Wednesday. The Realty and Metal sectors saw marginal declines, nearly half a percent each, while the Pharma sector experienced a commendable ascent of approximately 0.75%. Titan emerged as a leader at the onset of the trading session, while Kotak Bank lagged among the decliners.
The prevailing positive sentiment in Mumbai’s markets appears to align with a broader trend across Asian exchanges, including Seoul, Tokyo, and Shanghai, indicating optimism in global markets. However, this optimism unfolds against the backdrop of a slight downturn in the Indian currency, closing at around mid-83 against the dollar on Tuesday.
Brent crude oil witnessed a marginal dip in its price, settling at $81.96 per barrel on Tuesday. The fluctuations in oil prices remain under close scrutiny by market participants due to their potential impact on global economic conditions and inflationary pressures.
Investors are closely monitoring foreign institutional activity, which saw equities totaling ₹455.59 crore offloaded on Tuesday. Despite these outflows, robust domestic buying activity and favorable macroeconomic factors continue to bolster the market’s rally.
Earlier in the week, Mumbai’s stock market faced modest declines on Monday, with the Sensex dropping by 139.58 points to close at 65,655.15, and the Nifty decreasing by 37.80 points to end at 19,694.
