January 12, 2023
New Delhi, India
Indian Stock Market
In a remarkable day for the Indian stock market, the Sensex and Nifty indices soared to unprecedented heights on the back of robust performances by IT heavyweights Infosys and TCS. The global market landscape and positive corporate earnings also played pivotal roles in the market’s upward trajectory.
Both Sensex and Nifty closed at 72,568.45 up +847.27 21,894.55 up +247.35
Positive Market Sentiment:
The Sensex witnessed an impressive surge of 900 points, reaching a historic high at 72,721, while the Nifty achieved a fresh all-time high at 21,928, marking an increase of around 250 points. Overall, the market exhibited a strong positive sentiment, with benchmark indices rising sharply by 1%.
IT Sector Driving Forces:
Key contributors to this remarkable performance were the IT stocks, particularly Infosys and TCS, which reported better-than-expected Q3 results. Nifty IT witnessed a substantial 5% surge, with Infosys gaining 7.5% and TCS surging by 4%. Analysts are optimistic, stating that the worst is behind for the IT sector.
While the global market mood was described as tepid, an impactful US strike in Yemen led to a 2% increase in oil prices, influencing market dynamics. Asian markets showed mixed results, with the Nikkei 225 experiencing the most significant weekly gain since March 2022. European stocks remained higher, with traders maintaining expectations for US interest-rate cuts.
Currency and Macro Focus:
The Indian rupee traded at 82.9775 to the dollar, and market participants are closely watching key earnings and macroeconomic data, including IIP and CPI.
Corporate Movers and Shakers:
Among the top gainers in the Nifty were Infosys, ONGC, Tech Mahindra, LTIMindtree, and TCS. Notable movers in the broader market included Wipro, Tech Mahindra, HCL Technologies, SBI, ICICI Bank, and Tata Steel. However, some companies, like Mahindra & Mahindra, Asian Paints, and Titan, experienced minor setbacks.
Broader Market Trends:
In the broader market, the BSE MidCap index gained 0.3%, while the SmallCap added 0.5%, reflecting positive trends beyond the major indices.
Global Economic Indicators:
US economic indicators showed a 0.3% rise in the consumer price index, while jobless claim applications fell to 202,000 for the week ended 6 January, down by 1,000 from the previous week.
Other Noteworthy Developments:
In addition to the market surge, Reliance Industries launched an entry-level recruitment drive for engineer graduates across business verticals.
The day’s events underscore a positive momentum in the Indian stock market, driven by the stellar performance of the IT sector, favorable global influences, and encouraging corporate earnings. Market participants now turn their attention to key economic indicators, ensuring continued vigilance in the ever-evolving financial landscape.
Also Check Indian Rupee vs Dollar
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