Indian equity benchmark indices experienced upward momentum on Friday, aligning with mixed cues from Asian markets and a varied performance on Wall Street. Investors eagerly awaited the release of US Nonfarm Payrolls data later in the day, which could provide further clarity regarding the Federal Reserve’s potential rate hike decision at the upcoming September monetary policy meeting.
As of 12:20 pm, the Nifty50 index was trading 0.41% higher at 19,332.55, reaching an intraday high of 19,350.75. Simultaneously, the Sensex added 186.42 points or 0.3%.
Market volatility, as measured by the India VIX, witnessed a substantial decrease of 13.7% on Friday. The India VIX was last seen trading 4.6% lower at 11.5 levels.
Metals and auto stocks emerged as the leaders of the gains on Dalal Street, with notable buying activity seen across various sectors, except for pharmaceuticals.
Within the Nifty index, the Nifty Metal sector recorded a substantial surge of 2.8%, with 14 out of 15 constituent stocks trading in positive territory. Additionally, both the Nifty IT and Nifty Auto sectors experienced significant gains, while the Nifty Bank sector saw a modest 0.12% increase.
Among individual stocks, the demerged financial services entity of Reliance Industries Ltd, Jio Financial Services, claimed the top spot as the best performer on the Nifty 50. It was followed by state-owned heavyweights ONGC and NTPC.
Tata Steel, SBI Life, Hindalco, and Coal India were among the prominent market heavyweights leading the Nifty index’s upward trajectory. In contrast, Divi’s Labs and HDFC Bank faced downward pressure.
These developments in the Indian equity market reflect the cautious optimism of investors as they await crucial economic data from the United States, which could influence the future course of monetary policy decisions by the Federal Reserve.
