Markets rebound in early trade after five days of slump

Mumbai: The Sensex and Nifty, key indices in the stock market, bounced back in early trading on Friday following five consecutive sessions of decline, thanks to investors buying low-priced stocks and a surge in major companies like Infosys, Tata Consultancy Services, and Reliance Industries.

In early trading, the BSE Sensex rose by 235.23 points to reach 80,275.03. The NSE Nifty increased by 86.6 points to reach 24,492.70. Bharti Airtel, Tata Steel, Infosys, JSW Steel, Bajaj Finance, HCL Technologies, Tata Consultancy Services, and Reliance Industries were the top performers in the Sensex pack. Tech Mahindra, HDFC Bank, Nestle, and Maruti were some of the underperforming companies.

The special characteristic of the Indian bull market is its skill in overcoming all concerns and challenges. The market ignored worries about elections, the Budget, and the US stock market correction. The strategy of buying when prices drop, which has been successful in this market upswing, remains effective, according to V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services.

Trading was up in Seoul, Tokyo, and Hong Kong in Asian markets, but Shanghai was down. On Thursday, the majority of US markets closed with losses. Brent crude, the international standard for oil prices, increased by 0.19% to reach USD 82.53 per barrel. According to data from the exchange, equities worth Rs 2,605.49 crore were sold by Foreign Institutional Investors (FIIs) on Thursday.

Prashanth Tapse, Mehta Equities Ltd's Senior VP (Research), stated that the 2.8 pc growth of the US economy in Q2 ensures it will not fall into recession, leading to the prediction of the Federal Reserve beginning to decrease interest rates by September because of decreasing inflation. Following a significant drop during trading on Thursday, the BSE index was able to partially recover and ended the day 109.08 points or 0.14 pc lower at 80,039.80.

The NSE Nifty fell by 7.40 points, which is equivalent to 0.03 pc down to 24,406.10. Over a span of five days, the BSE benchmark Sensex dropped by 1,303.66 points or 1.60 percent, while the Nifty fell by 394.75 points or 1.59 percent.