Domestic equity markets traded higher on Monday, mirroring positive global cues amid easing crude oil prices and geopolitical concerns in West Asia
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MUMBAI — Domestic equity markets traded higher on Monday, mirroring positive global cues amid easing crude oil prices and geopolitical concerns in West Asia.
Sensex surged over 400 points or 0.54 per cent to touch an intraday high of 77,223 in morning trade, while Nifty traded more than 100 points or 0.51 per cent higher at 24,137.
Among sectoral indices, IT stocks led the gains, with the Nifty IT index rising over 1 per cent. The Nifty MidSmall IT & Telecom and Nifty Oil & Gas indices also advanced about 0.8 per cent each.
Consumer durables, financial services, media and metal stocks traded in positive territory, while auto, pharma, realty and FMCG indices posted modest gains. In fact, all sectoral indices were trading higher in early deals. On the downside, IndiGo, Titan, Grasim Industries and Bharti Airtel were among the top losers on the Nifty.
According to market experts, the resilience in domestic equities is being supported by easing crude oil prices, rupee appreciation and moderating foreign fund outflows.
They noted that Brent crude remaining below $80 a barrel despite geopolitical uncertainties in West Asia suggests that markets do not expect a major escalation in the conflict.
Analysts said the strengthening rupee and the prospect of fresh capital inflows could lend further support to sentiment, while mid- and small-cap stocks continue to attract investor interest on expectations of stronger earnings growth. Banking stocks, particularly those in the Bank Nifty index, remain fundamentally strong, they added.
On the commodities front, international benchmark Brent crude declined over 2 per cent to $78.74 per barrel, while US West Texas Intermediate (WTI) crude fell 3 per cent to $74.98 per barrel.