Sensex, Nifty Rally: IT Stocks Soar on Global Optimism & Nvidia

Indian benchmark equity indices Sensex and Nifty rebounded on Friday, snapping a two-day losing streak, fueled by robust buying in blue-chip IT stocks and a broader rally across global markets.

Market Close: Key Figures

• The 30-share BSE Sensex climbed by 331 points, closing at 77,265.
• The 50-share NSE Nifty advanced by 85 points, settling at 24,176.
• The Nifty IT index surged by 3.5 percent, leading the sectoral gains.

The strong performance of Indian equities was primarily due to gains within the IT sector, according to Vinod Nair, head of research at Geojit Investments. This boost stemmed from Nvidia’s impressive earnings report and optimistic future projections, reinforcing confidence in Artificial Intelligence-related investments.

Driving Factors and Investor Sentiment

• Significant buying in blue-chip IT stocks.
• Positive sentiment across global markets.
• Nvidia’s impressive earnings report and optimistic future projections.
• Bolstered confidence in sustained investments related to Artificial Intelligence.

Hariselvan Radhakrishnan, founder and CEO of HST Wealth, a research analyst firm, confirmed the positive investor outlook on IT stocks, supported by favorable global market signals. Technology stocks clearly outperformed the broader market, breaking a two-session decline for the Indian equity benchmarks.

Despite the rebound, investor engagement remained selective as market participants awaited further statements from the Fed Chair at the Jackson Hole symposium. This anticipation reflects a broader search for clarity on the US interest-rate outlook and global liquidity conditions.