Market Trades Green As RBI Keeps Rates Unchanged

The stock market traded with decent gains in Friday trading session after the Reserve Bank of India kept the policy repo rate unchanged at 6.5 per cent. 

The benchmark BSE Sensex 0.39 per cent higher at 75,734, while the NSE Nifty traded with a gain of 171 points, opening at 22,990.

On the opening bell, among the Nifty-listed companies, 25 stocks advanced, while 24 stocks experienced decline.

Notably, certain stocks contributed significantly to the positive sentiment, with Wipro, LTIMindtree, Tech Mahindra, Infosys, and Hero Motocorp emerging as the top gainers in the early trading hours.
 

Conversely, Indusind Bank, SBI Life, JSW Steel, LT, and Kotak Bank were among the top losers during the initial phase of trading.

Prior to the regular trading session, the pre-opening session hinted at a relatively muted start for India's domestic indices.

The NSE Nifty 50 traded marginally higher at 22,821.85, while the BSE Sensex was slightly down at 75,031.79.

However, as the market officially opened for trading, the indices showcased resilience and gained traction, reflecting the dynamic nature of market sentiment.

Globally, markets also exhibited strength, with European markets witnessing a 1 per cent increase ahead of the European Central Bank (ECB) meeting. Furthermore, US markets closed at record highs, fueled by expectations of a Federal Reserve interest rate cut.

This optimism in global markets contributed to the positive sentiment observed in the Indian stock market.

Varun Aggarwal, founder and managing director, Profit Idea, said, "Technical analysis of the Nifty index suggested an opening 180 points higher, with fluctuations within a defined range. The index found support near the 22,650 mark and closed above 22,900. The formation of a small-bodied bullish candle with a longer lower shadow hinted at potential upside momentum in the market."

Aggarwal said, "In the derivatives market, the Nifty futures closed 1.28 per cent higher at 22,933, with positive setups observed in stocks like Biocon, Exideind, and Tech Mahindra. Conversely, weakness was noted in IPCA Labs and Lupin. The decrease in India VIX by 12.39 per cent to 16.55 eased volatility, providing a more stable environment for market participants."

Option data analysis indicated a broader trading range between 22,200 and 23,500, with an immediate range between 22,500 and 23,100.

This data served as valuable insights for traders and investors, helping them strategize their positions effectively amidst the evolving market dynamics.

Overall, the positive start to the trading day reflected optimism among investors, supported by both domestic and global factors.

As the trading session progressed, market participants closely monitored developments and corporate earnings reports for further cues on market direction and sentiment. (ANI)