Market conditions today: On Friday, August 16, the benchmarks of the Indian stock market, the Nifty 50 and Sensex, saw gains of about 2% apiece.
The Nifty 50 recovered its 24,500 barrier, while the Nifty 50 and Sensex exceeded the 80,500 mark. The market’s gains were widespread, as the BSE Midcap and Smallcap indices had a 2% increase in value.
Investors gained almost ₹7 lakh crore in value in a single session as the total market capitalization of the companies listed on the BSE increased to around ₹451.5 lakh crore from ₹444.3 lakh crore.
During intraday trading on the BSE, more than 200 stocks—including Tech Mahindra, Trent, ICICI Lombard General Insurance The business Info Edge (India), & Colgate Palmolive (India)—reached new 52-week highs.
In contrast to its previous closing of 79,105.88, the Nifty 50 and Sensex began at 79,754.85 and reached an intraday high of 80,518.21. The Nifty 50 and Sensex, on the other hand, began trading at 24,334.85 and reached 24,563.90 after closing at 24,143.75 the previous day.
The Nifty 50 and Sensex finished 397 points, or 1.65%, higher at 24,541.15, while the Sensex ultimately closed with a gain of 1,331 points, or 1.68 percent, at 80,436.84.
In the Nifty 50 index, just a few stocks—Divi’s Laboratory, SBI Life, and Dr. Reddy’s Labs—ended worse than how they began.
After increasing by around 4% apiece, shares of Tech Mahindra, Grasim, and Wipro concluded as the Nifty 50 index’s top gainers.
The NSE’s major sectors indices all finished the day greater than when they started, with the Nifty IT climbing 3% and the Realty, Media, and Automatically indicators all rising by more than 2%.
The Nifty Bank index ended the day 1.6% higher, while the PSU Bank & Private Banking indices had closing gains of 1.7% and 1.7%, accordingly.
What motivated today’s Indian stock market:
The Indian stock market appears to have seen widespread purchasing on Friday due to encouraging global indications. The S&P 500 gained about 2%, and the Nikkei 225 gained 3.5%, which had a knock-on effect on the Indian stock market.
Globally, major markets saw gains as recent US macro data allayed worries about a recession and boosted hopes of a September rate cut by the US central banks.
The sentiment of the market was also affected by a notable decline in US inflation. For the first time in almost three and a half years, consumer prices in the United States increased in July below 3%, igniting expectations of a rate reduction in September.
“Since the US worries about recession and the end of the yen carrying trade on August 5, stock markets everywhere the world have wisely rebounded.” The US economy is not heading toward a recession, according to the most recent data on unemployment, inflation, and benefits. Yet the market is already pricing in a rate decrease by the Federal Reserve in September as a result of the 2.9% annual inflation rate and somewhat weakening labor markets, according to V K Vijayakumar, Chief Financial Strategist at Geojit Financial Services.
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What is the market impact of the Nifty 50 and Sensex:
The Sensex and Nifty are the two indexes that stock marketers use to assess the general performance movement of the market. The Nifty has fifty companies, while Sensex has thirty. That is the only difference.
Who is in charge of the Nifty and Sensex:
The Bombay Stock Exchange, also known as the BSE, is the owner of the Sensex. NSE Indices Limited, a wholly-owned division of the NSE Strategic Investments Corporation Limited, is the owner and manager of Nifty.
What is Nifty in full:
NIFTY, and National Stock Exchange Fifty, is an equity index that tracks the overall performance of the top fifty businesses based on the value of their markets on a free-float basis. It was initially developed by the NSE on April 21, 1996.
What happens if the Sensex begins to rise:
Sensex serves as a stand-in for the Indian stock markets for investors. Streamlining the situation, a gain in the Sensex indicates an overall increase in share prices. Conversely, when the Sensex drops in value, it indicates a broad a decrease in share values.