Nifty Reaches New Heights as Sensex Surges: What’s Driving the Market Rally?

Market Performance Overview

Mumbai: The Nifty index reached an all-time high on Friday, closing up by 182 points, while the BSE Sensex experienced a significant increase of 573 points, driven by robust buying activity in the power, banking, and metal sectors.

Traders noted that continuous capital inflow from domestic institutional investors, alongside a strong performance from Asian markets, bolstered the local stock market.

The BSE Sensex, comprising 30 stocks, rose by 573.41 points, or 0.67%, finishing at 85,762.01. At its peak during the day, it soared by 623.67 points, marking a 0.73% increase to reach 85,812.27.

Similarly, the NSE Nifty climbed 182 points, or 0.70%, concluding at 26,328.55, with an intraday high of 26,340, reflecting a 0.73% rise.

Among the top performers in the Sensex, NTPC, Trent, Bajaj Finance, Power Grid, Maruti, State Bank of India, ICICI Bank, and Bharat Electronics stood out as major gainers.

Conversely, ITC, Kotak Mahindra Bank, Titan Company, Axis Bank, and Bharti Airtel lagged behind.

Data from exchanges indicated that Foreign Institutional Investors (FIIs) sold equities worth ₹3,268.60 crore on Thursday, while Domestic Institutional Investors (DIIs) purchased stocks valued at ₹1,525.89 crore.

In the broader Asian market, South Korea's Kospi and Hong Kong's Hang Seng indices closed significantly higher, while China's Shanghai index and Japan's Nikkei were closed for a holiday.

European markets also showed positive trading trends.

US markets were closed on Thursday in observance of New Year’s Day.

Brent crude oil prices fell by 0.36%, settling at USD 60.63 per barrel.

On the previous day, the Sensex had dipped by 32 points, or 0.04%, to close at 85,188.60, while the Nifty saw a slight increase of 16.95 points, or 0.06%, ending at 26,146.55.