US recession fears ease, Driving Nifty and Sensex 1.7% higher

The domestic shares market indices ended on a positive note on Friday, driven by gains in information technology stocks. This upswing was driven by favorable U.S. economic data that eased recession fears in the world's largest economy, contributing to a global market rally.At close, the Sensex was up 1,330.96 points or 1.68 percent at 80,436.84, and the Nifty was up 397.40 points or 1.65 percent at 24,541.15 About 2,193 shares rose, 1,192 fell while 89 remained unchanged.
Wipro, Grasim, M&M, Tech Mahindra and Tata Motors were the top gainers on the Nifty, while among losers Divis Labs was the only major loser.
On the sectoral front,all sectoral indices ended with strong gains, with information technology, automobiles, banks, metals and realty leading from the front, surging 1.5-3 percent. Buying was robust in the broader market as well, with the BSE Smallcap and BSE Midcap indices rising nearly 2 percent each.
Rupee Close:
On 16 Aug'24,the Indian rupee fluctuated within a limited band on Friday, ending the session almost unchanged,as most of its Asian peers reversed early losses and mild dollar sales from foreign banks helped the currency hold above its all-time low.
The rupee closed at 83.94 against the U.S. dollar, nearly unchanged from its close of 83.9475 in the previous session. The local unit was nearly flat week-on-week as well, stated sources.However, a positive sentiment in the domestic as well as global equity markets and a weak American currency supported the rupee, forex traders reportedly stated.
Trading Guide:
Globally stock markets have turned around smartly from the August 5th sell off triggered by US recession fears and the unwinding of the yen carry trade. Latest data on US inflation and unemployment relief do not indicate an economy tipping into recession, Dr. V K Vijayakumar, Chief Investment Strategist, Geojit Financial Services, reportedly stated.
Market experts have recommended five shares to buy today-HBL Power, Naukri, Titan, Tata Chemical, and Samvardhan Motherson.

(Writer is a Finance Research Analyst, based in Gandhinagar, Gujarat)