Share Markets Open Higher: Sensex Over 500 Points Up, Nifty Crosses 24,150

The Indian markets began the week with a positive sentiment as indices rallied ahead on Monday. The BSE Sensex climbed more than 450 points and traded above 79,650, while the NSE Nifty50 gained over 100 points and crossed 24,150 in the morning. 

On the 30-share Sensex platform, Reliance, M&M, ICICI Bank, SBI, and Kotak Bank emerged as the gainers in the session. Meanwhile, the laggards in the morning included HCL Tech, Tech M, TCS, Infosys, and Bajaj Finance. 

In the broader markets, the Nifty Midcap Select dominated the gains and climbed 0.88 per cent in the early hours. Sectorally, the PSU Bank and Oil & Gas indices jumped 1.66 per cent and 1.46 per cent respectively. 

This rally was driven by consistent foreign fund inflows and sharp gains in Reliance Industries. The shares of the conglomerate jumped nearly 4 per cent on Monday morning, after it reported a 2.4 per cent increase in its net profit in the January-March quarter last week.

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Global Markets And Foreign Inflows

In Asia, all indices remained in the positive territory on Monday, apart from China. South Korea's Kospi index, Tokyo's Nikkei 225 and Hong Kong's Hang Seng traded in the positive territory while Shanghai SSE Composite remained lower. The US markets ended higher on Friday. The global oil benchmark Brent crude climbed 0.25 per cent to $67.04 a barrel.

Foreign institutional investors (FIIs) continued to remain net buyers and infused Rs 2,952.33 crore in Indian equities on Friday, while domestic institutional investors (DIIs) also became net buyers in the session and poured in Rs 3,539.85 crore in the segment.

V K Vijayakumar, Chief Investment Strategist, Geojit Investments Limited, explained, "The major factor contributing to the resilience of the market is the sustained buying by FIIs in the last eight days. FIIs have turned sustained buyers in a dramatic reversal of their sustained selling strategy. This, in turn, is due to the relative under performance of US stocks, US bonds and dollar. The heightened uncertainty relating to Indo-Pak tensions will weigh on the markets."

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