SENSEX and NIFTY50 open at record high levels; Nifty PSU Bank takes the lead

Today, Indian equity benchmark indices began the first trading session of the week positively, with the NIFTY50 and SENSEX trading making new record highs. Similarly, the broader markets also opened in green. In the sectoral indices, Nifty PSU Bank was the top gainer, while Nifty FMCG was the top loser in the early trading session. The India VIX has surged by 5.31%, trading above the 12.5 mark.

On Monday morning, market sentiment was boosted by positive reading on US PCE inflation, which was released just ahead of this week's Fed meeting. The annual increase slowed to 2.5% from 2.6% the month prior. Additionally, market participants look past the hike in tax on long-term capital gains and short-term capital gains along with an increase in the securities transaction tax on derivatives.

On Friday, July 26, 2024, foreign institutional investors (FII) purchased shares worth ₹2,546.38 crore, while domestic institutional investors (DII) bought shares worth ₹2,774.31 crore.

At 09:25 am, the SENSEX was trading higher by 0.38%, making a record high at 81,749.45. The NIFTY50 was also trading up by 0.38% and reached its all-time high at 24,980.45 level. Furthermore, Nifty Bank surged by 0.99%, trading above the 51,800 level.

Broader indices

Looking at the broader indices, the Nifty Midcap 100 index was trading in the green, up by 0.64% and making a new high at 58,279.75 level, while the Nifty Smallcap 100 surged by 0.92% and is trading above the level of 19,000 mark. Market breadth is skewed in favour of advances.

Sectoral performance

Within the sectoral landscape, Nifty PSU Bank (+2.4%), Nifty Media (+1.6%), and Nifty Bank (+1%) are the major sectors that are trading positively, while Nifty FMCG (-0.4%) is the only major sector that is trading negatively.

Top gainers and losers

In the NIFTY50 space, NTPC (+2.8%), BPCL (+2.06%) and SBI (+2.04%) are among the top gainers. On the other hand, Dr Reddy’s Laboratories (-1.55%), Cipla (-1.6%) and Tata Consumer Product (-1.29%) are among the top losers.

U.S. Markets- Wall Street's major indexes closed higher on Friday as investors returned to tech megacaps, which had caused broad sell-offs earlier in the week. Optimism grew that the Federal Reserve might soon begin cutting interest rates, fueled by favorable inflation data.

The U.S. 10-year Treasury yield dropped by 42 basis points to 4.17%, while the 2-year bond yield fell by 33 basis points to 4.46%.

Commodities

Oil prices increased on Monday, recovering some of last week's losses, due to concerns about a widening conflict in the Middle East following a rocket strike in the Israeli-occupied Golan Heights, which Israel and the United States attributed to the Lebanese armed group Hezbollah.

Brent crude futures rose by 20 cents, or 0.3%, to $81.33 a barrel. U.S. West Texas Intermediate (WTI) crude futures edged up by 9 cents, or 0.1%, to $77.25 a barrel.

Stocks in F&O Ban

No stocks are banned for trading in the F&O segment on July 29, 2024.