Stock market opens in green as Sensex, Nifty surge
Aug 21, 2023
Mumbai (Maharashtra) [India], August 21 : The stock market opened on a positive note on Monday, with both the Sensex and Nifty showing gains in early trading. Investors welcomed the week with optimism as economic indicators and global cues favoured a bullish start to the trading day, ahead of Jio Financial Services’ listing on stock exchanges.
At the opening bell, the Sensex, representing the top 30 companies listed on the Bombay Stock Exchange (BSE), showed a significant uptick, rising by 139.79 points to reach 65,088.41.
Simultaneously, the Nifty, tracking the National Stock Exchange (NSE), also made gains, surging by 40.00 points at 19,350.15.
Market sentiment appeared to be positive, with 39 stocks advancing, 10 declining, and 2 remaining unchanged during the initial trading minutes.
Leading the pack of gainers were companies such as Adani Enterprises, Adani Ports, NTPC, Power Grid, and JSW Steel. These stocks saw robust buying interest and contributed significantly to the early morning rally.
However, not all stocks enjoyed a prosperous start to the week. Companies like M&M, SBI Life, ONGC, Bajaj Finserv, and Maruti faced early losses, but market experts suggested that these trends could change as the trading session progressed.
Varun Aggarwal, Founder and Managing Director of Profit Idea, provided insights into the factors shaping the opening market trends.
He said, “China's 5-year loan prime rate kept unchanged at 4.2 per cent and one-year loan prime rate cut to 3.45 per cent from 3.55 per cent earlier resulting in a stable opening for Nifty. Pause in interest rate cycle suggests rally in the bond market and it can also lead the rally in Nifty & Sensex.”
The listing of Jio Financial today on the exchanges also garnered attention. The company saw a premium gap-up opening, supported by positive cues from Reliance Industries, one of India's largest conglomerates.
Aggarwal offered some trading advice, saying, "Investors should look to trade with a positive bias on the Index, with a very strong Nifty support level at 18,887. Open interest data suggests good put writing in the 19,000-19,200 range."
The opening of the stock market on a positive note comes as a reassuring sign for investors, with hopes of sustained growth and stability in the Indian stock exchanges in the days ahead.
Market participants will closely monitor global economic developments and corporate earnings reports for further cues on market direction.
