The BSE Sensex rose 418.81 points, or 0.52%, to close at 81,018.72, while the NSE Nifty added 157.40 points, or 0.64%, to end at 24,722.75.
Here’s how analysts read the market pulse:
The domestic equity market edged higher, supported by strong performance in the metal and auto sectors, said Vinod Nair, Head of Research, Geojit Investments, adding that “a weakening U.S. dollar, along with robust monthly auto sales and encouraging quarterly results from leading automakers, helped renew investor interest in these sectors.”
“The Q1 earnings summary indicates that consumption-driven companies are benefiting from a rebound in volume demand. Meanwhile, rising unemployment and slower job creation in the U.S. have reinforced expectations of a potential FED rate cut. However, there still remains room for caution due to high U.S. tariffs,” said Nair.
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US markets
Wall Street’s main indexes rose on Monday, clawing back losses from the previous session’s tumble as hopes for deeper Federal Reserve rate cuts surged in the wake of an unexpectedly weak jobs report.A dismal U.S. jobs report hammered the S&P 500 on Friday, sending the index to its steepest intraday drop in more than two months, while downward revisions for May and June also compounded the blow.The bleak data did not just trigger the market selloff but also forced a dramatic rethink of the Fed’s rate trajectory.
Traders, who had been leaning toward another pause in September, are now seeing an 85% chance of a rate cut, as signs of a weakening labor market pile up.
Tech View
Following a positive start, the Nifty remained in the green throughout the day and on the hourly chart, the index has reclaimed the 21EMA, indicating improving sentiment, said Rupak De, Senior Technical Analyst at LKP Securities, adding that the RSI has exhibited a positive divergence again, pointing towards improving momentum.
“Moreover, on the daily chart, a bullish Harami pattern has formed, signaling waning bearishness that could lead to a recovery in the short term. On the higher end, it might move towards 24850/25000. Support on the lower end, is placed at 24650/24500,” said De.
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Most active stocks in terms of turnover
HDFC Bank (Rs 1,392 crore), Netweb Technologies (Rs 1,325 crore), Infosys (Rs 1,265 crore), Gujarat Mineral Development (Rs 1,111 crore), Delhivery (Rs 1,101 crore), MCX India (Rs 1,094 crore) and ABB India (Rs 1,005 crore) were among the most active stocks on BSE in value terms. Higher activity in a counter in value terms can help identify the counters with highest trading turnovers in the day.
Most active stocks in volume terms
Vodafone Idea (Traded shares: 41.31 crore), YES Bank (Traded shares: 7.33 crore), Suzlon Energy (Traded shares: 7.20 crore), JP Power (Traded shares: 5.27 crore), Ola Electric Mobility (Traded shares: 4.38 crore), Federal Bank (Traded shares: 3.95 crore) and Capri Global (Traded shares: 3.60 crore) were among the most actively traded stocks in volume terms on NSE.
Stocks showing buying interest
Shares of Sarda Energy, Aditya Birla Capital, Transformers & Rectifiers, Capri Global, Netweb Technologies, eClerx Services and Delhivery were among the stocks that witnessed strong buying interest from market participants.
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52 Week high
Over 124 stocks hit their 52 week highs today while 125 stocks slipped to their 52-week lows.
Stocks seeing selling pressure
Stocks which witnessed significant selling pressure were Thermax, Narayana Hrudayalaya, ABB India, Reliance Power, PNB Housing, Glenmark Life and Alkyl Amines.
Sentiment meter bullish
The market sentiments were bullish. Out of the 4,307 stocks that traded on the BSE on Monday, 1,847 stocks witnessed declines, 2,286 saw advances, while 174 stocks remained unchanged.
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(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of the Economic Times)