Indian equities closed higher on Friday, with the Sensex and Nifty extending the prior session’s U.S. Federal Reserve-driven bounce and trimming the market’s weekly damage.
The Nifty 50 advanced 0.57% to 26,046.95, while the BSE Sensex climbed 0.53% to 85,267.66, building on Thursday’s roughly 0.5% rise. Even so, both benchmarks still ended the week down 0.5%, as traders locked in profits near record levels during the first half of the week.
On the Sensex, Tata Steel, Eternal, UltraTech Cement, Larsen & Toubro and Maruti Suzuki led the advance, chalking up gains of 2% to 3.5%.
Midcaps outpaced the broader market, with advancers firmly outnumbering decliners. All major sectoral gauges finished in the green except FMCG, as metals and realty shares powered the rally.
In contrast, outside the metals pack, most sectoral indices slipped into the red, with defence and state-run banks bearing the brunt of the declines.
Expert views
Global risk appetite improved after the U.S. Fed rate cut, boosting liquidity optimism and lifting domestic equities despite the rupee hitting record lows and continued FII outflows, said Vinod Nair, Head of Research at Geojit Investments, adding that auto, metals, consumer durables, and realty led gains, while FMCG and PSU Banks underperformed.
“Broader indices are showing buying interest, bouncing back post recent consolidation. India’s November CPI, due today, is expected to stay within RBI’s comfort zone, reinforcing policy stability expectations. Near-term focus: rupee levels, FII flows, and trade talks, with global cues from BoJ (likely to hike), ECB, and BoE policy signals,” said Nair.
More to come…