Today, July 3rd, benchmark indices in India surged to unprecedented levels, buoyed by positive global cues that lifted investor sentiment. The Sensex breached the 80,000 mark for the first time in history, driven by robust gains in banking and FMCG stocks.
At the opening bell around 9:20 am IST, the Sensex soared by 0.61% to reach 79,923, while the Nifty edged up 0.55% to 24,257. Market breadth remained positive with 2,086 stocks advancing, 699 declining, and 100 unchanged.
In international markets, the S&P 500 closed above 5,500 for the first time, settling at 5,509, reflecting strong investor confidence. Similarly, the Nasdaq Composite surged nearly 1% to 18,028, setting another record high.
HDFC Bank, India’s largest private bank, garnered attention as its weightage in the MSCI index is poised to increase, potentially attracting higher foreign institutional investments (FIIs). This development contributed to the Bank Nifty also achieving a milestone by touching 53,201.50, bolstering overall market optimism.
FIIs have shown significant buying interest with a long-short ratio exceeding 80%, indicating robust positivity towards heavyweight stocks. This trend is expected to sustain the upward momentum in the index.
However, the broader market, including midcap and smallcap indices, lagged behind the main indices, registering modest gains of 0.3% and 0.5%, respectively. Analysts noted erratic performance in these segments amid cautious anticipation ahead of budget announcements.
“The midcap and smallcap indices are exhibiting volatile behavior, likely to persist amidst uncertainties surrounding budget expectations,” commented market analyst Dadheech.
As markets continue to react to global cues and domestic developments, investors are closely watching further developments to gauge future market directions.