SENSEX rises 289 points, NIFTY50 at 24,850, tracking global cues; M&M leads gainers

The Indian stock market opened higher for the second straight session on Friday, September 5, tracking firm global cues, with auto and realty stocks leading the rally.

The market sentiment remains optimistic on the GST reform. According to a research report from SBI, the GST rate rejig, which will bring down tax rates on essential household items and services, may help moderate retail inflation by 65-75 basis points in the next fiscal.

The broader market was also seen higher in the early session, with both the Nifty Smallcap 100 and the Nifty Midcap 100 advancing 0.26% and 0.52%, respectively.

Among sectors, Nifty Auto surged the most, rising 1.12%, followed by Nifty Realty (0.61%) and Nifty Pharma (0.51%). However, Nifty FMCG was the only losing sector in the early session, falling 1.21%.

According to exchange data, on Thursday, the foreign institutional investors (FIIs) sold shares worth ₹106.34 crore, while the domestic institutional investors (DIIs) bought equities worth ₹2,233.09 crore on a net basis.

On the global front, all the main indices on Wall Street ended with gains on Thursday as labour market data did not change expectations for an interest rate cut by the Federal Reserve. Investors will be closely watching the key US monthly jobs report for further cues.

Meanwhile, the S&P 500 posted a closing record high on Thursday, closing at 6,502.08, rising 53.82 points, or 0.83%. The Dow Jones Industrial Average gained 350.06 points, or 0.77%, to 45,621.29, and the Nasdaq Composite also climbed 209.97 points, or 0.98%, to end at 21,707.69.

Following the US markets, stocks in Asia were also trading higher on Friday, with Japan’s Nikkei 225 being the best performer in the region after US President Donald Trump signed an executive order implementing a Washington-Tokyo trade deal. 

South Korea's KOSPI was up 0.10%, while Hong Kong's Hang Seng was trading up 0.46%, and the Shanghai Composite was also seen higher by 0.35%. Japan’s Nikkei index was seen at the 42,952 level, rising 0.87%.

As many as 2,467 stocks traded on the NSE during the early session, among which only 1,567 were trading in the green, 836 were trading in the red, and 64 shares remained unchanged.

This indicates that the market's breadth was favourable to advances.

Meanwhile, 41 stocks hit their one-year highs in the early trade, while 17 stocks touched their 52-week lows.

Almost 48 stocks hit their lower circuits, and 19 stocks hit their upper circuits.

India VIX, the volatility gauge, was trading 2.18% lower at 10.62 levels.

Mahindra & Mahindra was the top contributing stock, rising 1.51%, followed by Asian Paints (1.12%), Power Grid (1.03%), Trent (0.99%) and Eicher Motors (0.98%).

On the flip side, ITC (-1.19%), Nestle India (-0.92%), Tata Consumer Products (-0.57%), Apollo Hospitals (-0.32%) and Hindustan Unilever (-0.19%) were among the top losing stocks.