Sensex Climbs 500 Points, Nifty Above 24,330; HCLTech Leads IT Rally With 6% Jump

Stock Market Today: Benchmark equity indices traded firmly in the green on Friday.

With the Sensex rising more than 500 points and the Nifty crossing the 24,330 mark, as a rally in information technology stocks and favourable global cues lifted investor sentiment. However, profit booking in banking counters and select heavyweights trimmed some of the day’s gains.

At around 11:50 am, the BSE Sensex was up 510.21 points, or 0.66%, at 78,012.33, while the NSE Nifty 50 gained 162.40 points, or 0.67%, to trade at 24,338.10.

The broader market presented a mixed picture. The Nifty 100 advanced 0.53%, the Nifty 200 climbed 0.41% and the Nifty 500 gained 0.35%. Meanwhile, the Nifty Midcap 100 slipped 0.08%, while the Nifty Smallcap 100 managed a marginal gain of 0.09%.

Volatility remained subdued, with India VIX declining 3.64% to 11.84, reflecting improving investor confidence.

The IT pack emerged as the day’s biggest winner, with the Nifty IT index rallying 2.57%. HCLTech led the gains, soaring 6.54% after announcing a $1.14 billion digital transformation deal. Shares of Tech Mahindra, TCS, Tata Steel, Sun Pharma, Eternal, Bajaj Finance and Bajaj Finserv also traded higher.

Among other sectoral indices, Nifty Pharma and Nifty Healthcare rose 1.73% and 1.70%, respectively, while Nifty Realty gained 1.70% and Nifty Metal added 1.03%.

On the flip side, banking stocks came under selling pressure. The Nifty PSU Bank index declined 1.13%, making it the worst-performing sector, while Nifty Consumer Durables slipped 0.22%.

Among the laggards on the Sensex were IndusInd Bank, Axis Bank, Kotak Mahindra Bank, SBI, Adani Ports, Larsen & Toubro and Mahindra & Mahindra, as investors locked in profits after the recent rally.

V K Vijayakumar, Chief Investment Strategist at Geojit Investments, said India’s market continues to outperform amid moderating foreign institutional investor (FII) outflows and falling crude oil prices, both of which have strengthened the country’s macroeconomic outlook.

According to Vijayakumar, banking stocks remain fundamentally well placed, supported by healthy credit growth and expected inflows through the FCNR(B) deposit scheme, which could reportedly mobilise up to $60 billion and ease funding constraints for banks.

On the IT sector, he said the recent rebound has largely been valuation-led following a prolonged correction. While the sector has regained momentum, he believes sustained earnings growth will be key to maintaining the rally.

Global cues also remained supportive. Softer-than-expected US labour market data strengthened expectations that the US Federal Reserve could refrain from further policy tightening in the near term. Meanwhile, gains across Asian markets, easing geopolitical tensions and lower crude oil prices continued to bolster investor appetite for risk assets.