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Market rally persists as Nifty achieves new record high in early trading

In the early trading session on Tuesday, equity benchmark indices extended their winning streak, with the Nifty reaching a new all-time high, driven by positive trends in global markets, sustained foreign fund inflows, and favorable macroeconomic indicators. The 30-share BSE Sensex rose by 96.15 points to reach 70,024.68 in early trade, while the Nifty climbed 34.40 points, reaching a record level of 21,031.50. Major gainers among Sensex firms included Tata Steel, Mahindra & Mahindra, ITC, JSW Steel, UltraTech Cement, and Bajaj Finance. On the other hand, Bharti Airtel, Infosys, Larsen & Toubro, and Maruti were among the laggards.

On Monday, the BSE benchmark surpassed the 70,000-level for the first time, achieving a record intra-day peak of 70,057.83, and closed at 69,928.53, registering a gain of 102.93 points or 0.15%. The Nifty settled just below the 21,000 level at 20,997.10, marking its all-time closing high with a gain of 27.70 points or 0.13%.

Market experts attribute the rally to positive economic news, including a Q3 GDP growth rate of 7.6%, a decline in CPI inflation to 4.87%, a rise in manufacturing PMI to 56, a drop in Brent crude to $76, and Foreign Portfolio Investors (FPIs) turning buyers. Expectations of political stability post the 2024 general elections are also contributing to the positive sentiment in the market. Foreign Institutional Investors (FIIs) bought equities worth Rs 1,261.13 crore on Monday. Analysts anticipate a close watch on US inflation data and the Federal Reserve’s message during the week. Asian markets, including Seoul, Tokyo, Shanghai, and Hong Kong, were trading positively, and the US markets ended with gains on Monday. Global oil benchmark Brent crude rose to USD 76.27 a barrel on Tuesday.

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