Share Markets End In The Green, Sensex Ends Close To 82,500 - Here's What's Fuelling The Rally!
The markets closed in the green today despite opening with hints of a muted session. While the BSE Sensex closed at 82,500.82, higher by 328.72 points, the NSE Nifty50 ended at 25,285.35 higher by 103.55 points.
In the pre-open session, the Sensex took a hit of almost 100 points and breached 82,100, and the Nifty slipped marginally to trade near 25,150, around 9:07 AM. Notably, the GIFT Nifty indicated a muted session ahead as it inched up 2 points near 7:30 AM.
However, as trading progressed, the Sensex attempted a rally crossing 82,300, while the Nifty also surpassed 25,200, near 9:21 AM.
What's Fuelling The Rally?
Positive foreign fund inflows and optimism around a potential India-US trade understanding also supported investor sentiment.
Additionally, FIIs purchased equities worth Rs 1,308.16 crore on Thursday, according to exchange data.
Further, Prime Minister Narendra Modi's statement about a call with the US President Donald Trump, on reviewing "good progress achieved in trade negotiations," also bolstered investor sentiments, leading to a significant 11 per cent jump in textile stocks.
Hopes of renewed trade negotiations between India and the United States, which are potentially paving the way for a bilateral trade agreement, lifted investor sentiment in export-focused textile stocks.
What Do Analysts Say?
“The overall market environment is turning positive. Domestically, there are indications of a trade deal between the US and India, with India ‘rebalancing’ its oil purchases. These positive developments and the shift in FII strategy (FIIs were buyers in the cash market in the last three trading days) bode well for the market,” said V K Vijayakumar, Chief Investment Strategist at Geojit Investments.
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