Mumbai (Maharashtra) [India], September 10 (ANI): Indian stock markets continued their upward momentum on Wednesday, supported by constructive world cues and the continuing trade of optimistic posts on social media between Prime Minister Narendra Modi and U.S. President Donald Trump.
The benchmark indices opened with sturdy positive aspects. The Nifty 50 index began the day at 24,991, up by 122.40 factors or 0.49 per cent. Similarly, the BSE Sensex opened at 81,504.36, registering a rise of 403.04 factors or 0.50 per cent.
Experts famous that whereas the constructive developments on the commerce deal entrance are encouraging, the markets are nonetheless fighting excessive valuations. Sustained earnings development will likely be vital to help a secure rally.
Ajay Bagga, Banking and Market Expert, advised ANI, ‘Positive submit on a commerce take care of India by President Trump improves Indian futures a bit in morning trades. Indian markets will want earnings energy to make a sustainable transfer previous the Sep 2024 document shut. Trump’s submit is a constructive, a observe by of a commerce deal will likely be a really constructive catalyst for Indian markets, however earnings rising to justify the lofty valuations is the important catalyst.’
He additional added, ‘Indian markets have spent practically 12 months with no returns and the flip is imminent. But to make it a secure transfer, incipient earnings restoration is a vital issue. June could have been the earnings trough and we could also be on the cusp of an earnings restoration setting in.’
In the broader market, indices on the NSE additionally opened larger. The Nifty 100 index gained 0.47 per cent, the Nifty Midcap 100 rose 0.81 per cent, and the Nifty Small Cap 100 surged 0.70 per cent.
Among sectoral indices, the Nifty Auto index edged up 0.09 per cent, whereas the Nifty IT index jumped greater than 1 per cent. The Nifty Metal index and Nifty Pharma index gained 0.42 per cent every.
Banking shares additionally noticed sturdy momentum, with the Nifty PSU Bank index surging 0.74 per cent and the Nifty Private Bank index rising by 0.74 per cent.
Motilal Oswal, in its market outlook, acknowledged that optimism surrounding potential progress in U.S.-India commerce negotiations is supporting the market. It acknowledged, ‘U.S. President’s indication of a beneficial commerce take care of India has boosted investor sentiment. In addition, Foreign Institutional Investors (FIIs) turned internet consumers with inflows exceeding Rs 2,000 crore on Tuesday, additional strengthening the outlook.’
Global markets additionally contributed to the upbeat sentiment. Hopes that the U.S. Federal Reserve could lower rates of interest in its upcoming coverage assembly to counter slowing job development have pushed rallies throughout markets.
In different Asian markets, Japan’s Nikkei 225 index rose 0.57 per cent, Hong Kong’s Hang Seng index surged by greater than 1.18 per cent, Taiwan’s weighted index climbed 1.45 per cent, South Korea’s KOSPI index superior 1.52 per cent, and Singapore’s Straits Times gained 0.98 per cent. (ANI)