Stock Market Live Updates: After opening on a strong note, the Indian market erased early gains to end with minor gains on the last day of the week. Benchmark Nifty50 closed above 17,800, while the Sensex gained around 100 points to settle near 59,800- mark. The Benchmark Indices gained around one and half per cent each for the week ended September 9, 2022.
Nifty IT led the sectoral indices as it gained over two per cent, while Financial Services and Realty dragged the most
In the broader market, Nifty Midcap rose higher by 0.35%, however, the small cap index ended flat with a marginal gain of 0.06%
“Domestic bourses kicked off the trading session on a strong footing, backed by positive sentiments across global markets. However, it succumbed to profit booking after surpassing the psychological 60,000 mark,” said Vinod Nair, Head of Research at Geojit Financial Services.
Global indices edged higher as investors reassessed the outlook for monetary policy following ultra-hawkish remarks from the Fed chair and 75bps rate hikes by ECB. Banking and consumer-facing stocks continued to be top picks in the domestic market, he added.
Tech Mahindra, IndusInd Bank, Infosys were among top gainers on the benchmarks, UltraTech Cement, M&M and SBI Life were top losers.
“In the last public appearance before the September 20-21 Fed meeting, the Fed chief Jerome Powell on Thursday reiterated his resolve to fight inflation “until the job is done.” So a 75 bp rate hike on September 21st will not surprise the market. The market now believes that the sharp rate hikes will not cause a deep recession. That’s why the global cues have turned slightly positive,” said V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services
In India, the market momentum is so strong that the benchmark indices are moving towards previous record highs, he said.
Vijayakumar said even though valuations are getting expensive, investors should remain invested in this strong market. “Strong FII buying and short covering can surprise the market on the upside. Domestic economy-facing stocks continue to be the favourites. Bank Nifty is moving towards record highs,” he added.