Nifty logs gains for record 12th straight session, Sensex rises 230 pts

The Indian equity benchmark indices Nifty and Sensex maintained their upward momentum, closing at record highs on Friday, driven by a sharp rally in realty and pharma stocks that boosted market sentiment. Notably, the indices touched fresh intraday records shortly after the market opened.Nifty 50 logged gains for the twelfth consecutive session in the longest-ever rally.At close, the Sensex was up 231.16 points or 0.28 percent at 82,365.77, and the Nifty was up 83.95 points or 0.33 percent at 25,235.90. About 2,115 shares advanced, 1,630 shares declined, and 117 shares unchanged.
After a dip from profit booking the previous day, the broader market rebounded quickly, with the mid-cap and small-cap indices climbing 0.5 percent and 0.8 percent, respectively, outperforming the main indices. Despite concerns from analysts about stretched valuations, the mid and small-cap indices have demonstrated resilience and continue to significantly outpace the Nifty's year-to-date performance.
Cipla, Bajaj Finance, Divis Labs, M&M, and Bajaj Finserv were the top gainers on the Nifty,while losers included Tata Motors, Reliance,Tech Mahindra, ITC, and Coal India. BSE Midcap and Smallcap indices up 0.5 percent and 0.75 percent respectively.
On the sectoral front,out of the 13 sectoral indices, the FMCG index was the sole laggard,slightly weighing on overall sentiment as declines in ITC, Marico, and Dabur pulled the index down. The remaining 12 indices advanced, led by Realty, Pharma, and Healthcare, each up over 1 percent. Nifty IT added to its winning streak with a 0.5 percent gain, marking five consecutive sessions in the green. The Nifty Auto index also rose 0.6 percent and could gain further attention as OEMs are set to announce their August sales figures later this week, according to information.
Rupee Close: 
On 30 Aug'24,the Indian rupee consolidated in a narrow range and settled for the day higher by 3 paise at 83.86 against the American currency on Friday,supported by a firm trend in domestic equities and the weakness of the American currency in the overseas market.Forex traders reportedly stated the rupee gained on Friday  as domestic markets touched fresh record highs. Moreover, fresh foreign fund inflows also supported the rupee. However, a surge in crude oil prices capped sharp gains.
Trading Guide: 
Vinod Nair, Head of Research, Geojit Financial Services reportedly quoted as saying,global markets are currently resonating with the US Fed’s pledges of a rate cut in September. The US & Indian markets have regained the recent highs, reflecting the continuation of this optimism. However, the dollar is strengthening given healthy US GDP growth, strong retail sales and expectation that the upcoming US job claims will be steady leading to shallow rate cuts in the future. Though the domestic market is currently showing a positive bias, the Indian Q1 GDP growth is expected to be moderate, while premium valuation and a lack of fresh triggers could see further momentum buildup in value stocks.Market experts have recommended three stocks to buy today — Hindustan Petroleum, Maruti Suzuki India, and Power Finance Corporation.

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