After the huge fall in the previous session, the Indian stock market was seen trading in the green on Monday. Both Sensex and Nifty saw a rise of more than 0.5 percent. The special thing is that in just a few minutes of trading, investors earned Rs 3.15 lakh crore. During Monday’s trading session, the Sensex rose by 592 points to 75,367.93, while the Nifty 50 rose by 186 points to touch 23,733.70. This increase has come at a time when ‘India VIX’, an index measuring market volatility, fell by more than 3 percent to 15.64.
Indigo shares were among the biggest gainers on Sensex. After the fourth quarter, the company’s shares rose by more than 4.5 percent. After this came the shares of Infosys, Asian Paints, TCS, Tech Mahindra, HCL Tech and Reliance Industries (RIL), which saw a rise of 1-3 percent. At the same time, contrary to this trend, shares of NTPC, Kotak Mahindra Bank and Axis Bank declined by about 1 percent.
Broader markets also opened in the green. The Nifty Midcap 100 index gained more than 0.5 percent, while the Nifty Smallcap 100 index rose 0.8 percent. Talking about sectors, Nifty IT jumped by more than 2 percent and became the sector with the highest gain. Nifty FMCG and Nifty Private Bank slipped into the red. On NSE, about 1,823 shares saw a rise, while 841 shares declined and there was no change in 125 shares.
What do market experts say
VK Vijayakumar, chief investment strategist at Geojit Investments, said that due to uncertainty over the agreement between the US and Iran and Brent crude trading at around $ 93 per barrel, there is no major positive trigger for the market at the beginning of this week. An important trend has been seen in the market since the conflict started in West Asia on 28 February.
The performance of the broader market has been better than that of the main indices. The main reason for this better performance is that the fourth quarter results were better than expected. Due to expectations of good results from mid-cap and small-cap companies and continued selling in large-cap stocks by FPIs (foreign portfolio investors), the gap between valuations of large-cap and broader market stocks has widened further.
No significant change in rupee
The rupee opened at 94.97 against the US dollar, almost unchanged from its previous close of 95. The Indian currency has made a strong comeback after continuously touching new lows against the US dollar and reaching near the level of 97. Jatin Trivedi, VP Research Analyst, Commodity and Currency at LKP Securities, said that low crude oil prices have reduced concerns about India’s import bill and supported the domestic currency. Technically, rupee is facing immediate resistance near 94.60, while 95.30 remains an important support zone in the near term.
FII selling intensified
According to NSE data, foreign investors remained quite bearish on the Indian stock market and on Friday they sold Indian shares worth Rs 21,105.86 crore. This is the highest ever sale done by FIIs in a single day in the month of May.
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