stock market
While on one hand there was a decline in all the stock markets of the world, on the other hand the stock market of India surprised everyone. A strong rise was seen in Sensex and Nifty. The market mood improved due to good first quarter results, heavy buying in IT stocks and other reasons, due to which Sensex and Nifty rose by 1 percent. In early trade, the Sensex rose by 800 points to reach the day’s high of 77,989. At the same time, Nifty 50 also increased by more than 200 points and came back to the level of 24,250. This rise came when the broader market was witnessing a decline. Nifty Midcap 100 and Nifty Smallcap 100 indices fell by 0.8 percent.
There was a rise in these shares
Shares of Tech Mahindra, Reliance Industries, Infosys, Hindustan Unilever, HCL Tech, Axis Bank, Bajaj Finance, Bajaj Finserv, TCS, M&M, Kotak Mahindra Bank, HDFC Bank and Power Grid saw a rise of 1-3 percent. He furthered the rise in Sensex. At the same time, a slight decline was seen in the shares of UltraTech Cement, Indigo, Bharti Airtel and Eternal. India VIX, which measures market volatility, increased by almost 3 percent to 13.23. Sector wise, Nifty IT and Nifty Private Bank increased by more than 1 percent, while Nifty Pharma declined by more than 1 percent.
Fall in markets around the world
Today’s tremendous rise in the Indian stock market was seen despite the decline in equity markets around the world. Japan’s Nikkei fell more than 5 percent, while the Taiwan Weighted fell 6 percent. Shares of chip makers continued to fall and rising oil prices due to rising tensions between Iran and the US further soured the market mood. Hong Kong’s Hang Seng and China’s Shanghai Composite fell more than 2 percent. South Korea’s Kospi is closed today due to the country’s Constitution Day.
Stock market boomed due to these reasons
Rise in IT shares
Tech Mahindra’s better-than-expected Q1 results boosted investor confidence, leading to a strong rise in IT stocks. The company on Thursday reported a consolidated net profit of Rs 1,465 crore for the first quarter of the current financial year 2027. This is an annual increase of 28 percent compared to the net profit of Rs 1,140.6 crore reported in the same period last year. Nomura said that Tech Mahindra performed better than estimates in the first quarter fiscal year 2027. International brokerages and many others now expect the company to overtake its larger companies (large-cap peers) in terms of growth rate in FY 2027-28.
Investor confidence further increased after HCL Tech announced a new seven-year agreement with The Guardian Life Insurance Company of America (Guardian). This agreement will expand their existing partnership to accelerate AI-based modernization of the insurance company’s technology and operations.
First quarter earnings momentum
Shares of Reliance Industries (RIL) rose by more than 2 percent, which led to a huge rise in Sensex and Nifty. This Mukesh Ambani-led company can release the results of the first quarter (Q1) of the current financial year 2027 after the market closes on Friday. Analysts expect the company’s performance to remain stable. This is due to the recovery in the oil-to-chemicals business and continued growth in digital services, even as retail growth has slowed and oil and gas earnings have declined.
Meanwhile, shares of Jio Financial Services saw the highest rise on Nifty. Shares of the company surged 6 per cent as it reported a 155 per cent year-on-year (YoY) rise in its consolidated net profit at Rs 830 crore in the first quarter. In the same period last year, this profit was Rs 325 crore. The special thing is that shares of private lenders like HDFC Bank, Axis Bank, Kotak Mahindra Bank and ICICI Bank also rose by up to 2 percent and were among the biggest gainers. The results of these banks are going to be declared on Saturday.
Rupee rose
In early trade, the rupee rose by 14 paise to 96.28 against the US dollar. Jatin Trivedi, commodity and currency research analyst at LKP Securities, said market participants will keep an eye on crude oil, foreign fund flows and geopolitical developments to decide the future course. Technically, Rupee may face immediate resistance near 96, and the trading range is expected to remain between 96-96.60 in the near term.
technical breakout
Anand James, Chief Market Strategist, Geojit Investments, said that sluggish trading for a few consecutive days and narrowing of the trading range have formed a triangular pattern, which indicates a possible range breakout. However, he warned that there is no clarity about the direction yet and some volatility may be seen before moving in any particular direction. The analyst said that in this context, we will keep an eye on the range of 23940-24270 and expect an upswing as the initial trend.
