Indian benchmark indices ended at record highs on Thursday, boosted by the US Federal Reserve’s indication that an interest rate cut is likely in September.
Market sentiment was further boosted by news of India’s manufacturing sector showing impressive resilience in July 2024. The HSBC India Manufacturing PMI report recorded a robust reading of 58.1 for the month.
The Nifty closed at 25,004.00, up by 52.85 points or 0.21%, while the Sensex settled 0.15% higher at 81,867.73, gaining 126.38 points.
Earlier in the morning, the Sensex reached a new record high of 82,129.49 points, and the Nifty crossed the 25,000 mark for the first time.
The Nifty’s ascent past 25,000 marked a significant achievement, rallying 1,000 points in just 24 trading sessions, the third-fastest ever.
Power Grid Corp, Coal India, ONGC, Dr. Reddy’s Lab, and Shriram Finance were the top gainers during the day’s trade. Mahindra & Mahindra, Tata Steel, Hero Moto Corp, State Bank of India, and Bajaj Finserv were the main laggards.
The index has gained approximately 11% over the past three months, driven by robust GDP growth, controlled inflation, strong domestic liquidity, and favorable monsoon conditions.
“Geopolitical tensions and a 4% surge in WTI crude oil prices, driven by Middle East conflicts, also influenced market dynamics,” said Varun Aggarwal MD, Profit Idea.
In the broader market, the BSE MidCap index declined by 0.7%, and the SmallCap index fell by 0.5%. Sector-wise, the Nifty Media and Realty indices were the worst performers, decreasing by 0.88% and 1.37%, respectively, while the Nifty Bank index rose by 0.3%.
“Based on the current market momentum, we could expect Nifty to gain support between the 24,940 and 24,860 levels and face some resistance around 25,085 and 25,130 in the next session,” said V.L.A. Ambala, Co-founder – Stock Market Today (SMT).
(With ANI input)