Paper stocks saw a sharp rally, with Tamil Nadu Newsprint & Papers and JK Paper surging over 12%
Indian equity markets opened higher on Monday, with the Nifty50 index climbing over 24,900 in early trade. A positive session could see the Nifty gain in seven of the past eight sessions.
At 10 a.m. IST, the Nifty 50 traded 35 points higher at 24,904, while the Sensex was up 106 points at 81,413. Broader markets also mirrored the market sentiment, with the Nifty Midcap index up 0.5% and the Smallcap Index trading 0.3% higher.
Retail sentiment for Nifty on Stocktwits was ‘neutral’ in early trade. It was ‘bullish’ in the previous session.
Stock watch
All sectors, barring FMCG and media, were up in early trade on Monday, with IT stocks leading the charge. The Nifty IT index was up 2.5%, boosted by strong gains in Mphasis (+4%) and Wipro (+3%). IT bellwethers Infosys and Tata Consultancy Services gained 2.75% and 2.5%, respectively.
The Nifty Metal index climbed 0.9% higher, with Jindal Stainless Steel up 4.4%.
Yes Bank was up 2.3% after the RBI approved Sumitomo Mitsui Banking Corp’s (SMBC) acquisition of up to 24.99% in the company.
Titagarh Rail Systems edged 0.3% higher after securing a ₹91.12 crore order from Banaras Locomotive Works for WAG-9HC locomotive shell assemblies.
Paper stocks rallied in early trade, with Tamil Nadu Newsprint & Papers and JK Paper jumping 12% each, West Coast Paper rising 10%, and Andhra Paper gaining 9%.
Interarch Building Solutions gained 2.3% after winning a ₹90 crore order from Rungta Mines to build a pre-engineered steel building system.
Reliance Group companies, Reliance Infrastructure, Reliance Power and Reliance Communications, were all down 5% on the back of a criminal investigation into Anil Ambani. The companies had clarified in a statement to the exchanges that the investigation would not have a material impact on the company.
Analysts’ Takes
Akhilesh Jat: The Indian market opened higher today, with the Nifty gaining over 90 points, led by buying in the IT, Realty, and select heavyweights sectors. Yes Bank rose up to 4% after the RBI cleared SMBC’s proposal for a 24.99% stake. Reliance Power and Reliance Infrastructure hit 5% lower circuits despite clarifications on the CBI action.
InterGlobe Aviation and Max Healthcare remained in focus ahead of their inclusion in the Nifty 50, while infrastructure and defence names like Brigade Enterprises, Mazagon Dock, Titagarh Wagons, RailTel, and CEAT also attracted attention.
Key support for Nifty is seen at 24,780, while resistance is seen near 25,020, said SEBI RA Prabhat Mittal.
Ashish Kyal said that the Nifty50 index closing above 24,950 on the 15-minute chart could offer a scalping opportunity towards the 25,020–25,040 levels.
A break below 24,840 may trigger downside pressure, while a positive close on the lunar cycle would set a constructive tone for the coming week.
Asian Markets
All major Asian markets were trading higher on Monday, buoyed by the Federal Reserve’s tone on rate cuts. The Hang Seng Index and the Taiwan Weighted Index were up over 2%.
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