Stock Market Today: BSE Sensex and Nifty50, Indian Equity Benchmark indices firmly rally in trade on Friday. While BSE Sensex crossed 77,000 mark Intrade, Nifty50 went above 23,400. BSE Sensex closed the day to 76,905.51, 557 points or 0.73%. Nifty50 23,355.75, 165 points or 0.71%ended.
The Indian benchmark indices raised back from the initial weakness supported by favorable large-cap valuation and positive spirit due to reducing foreign sales pressure.
The Nifty has shown positive movement in four consecutive sessions, its longest continuity in about seven weeks. Including Friday’s growth, this week has increased by about 4% this week, moving towards its strongest weekly performance since July 2022.
Why is the stock market increasing?
1) Fiis returns to de-star
Foreign portfolio investors (FPIs) have shifted two of the last four sessions to purchase posts after continuous sales in months, which has improved the market spirit. According to the ET report, on 20 March, FPI acquired equity of Rs 3,239 crore, indicating a change in their investment approach.
“The rally in the market this week, which has seen a 3.5%increase in the Nifty, has come at a time when the business tension is increasing, and more expected when the mutual tariffs kick on April 2. The main driver of the rally is buying by Fiz in the cash market in two days and, perhaps, more importantly, a rapid increase in a rapid position and a growth.
2) Fed signal on rate cut
The US Federal Reserve maintained stable interest rates, confirming its approach to two rate cuts to 2025 ends, according to last December estimates. Despite the expectations of inflation caused by the upcoming tariffs, the anticipated rate cut has reduced concerns about the harsh monetary policy.
As a result of a possible decrease in US interest rates, the depreciation of the dollar and a reduction in treasury yields are expected to increase, leading to the appeal of emerging markets including India.
3) Falling American bond yields
The US Treasury yield has experienced a decline, a 10 -year yield has come down to 4.25% in the middle of a 10 -year yield, while in mid -February, about 4.5%, while 2 years yield declined from 4.28% to 3.97%. US Dollar Index Trading under 104 has additionally increased the market spirit.
Combining a soft dollar and reducing the yield of American bonds increases attraction Indian equities For foreign investors, the market increases potentially.
4) Technical reasons
Chavan, the leading set of research, technical and derivatives in Angel Forest, said, “Bulls dominate the Nifty extended advantage for the fourth straight session. With strong speed and developed price patterns, we hope that the rally will continue in the near period.”
He visited a fixed breakout from a falling channel pattern, crossing the RSI 50, reflecting positive speed.
Regarding important levels, Chavan identified 23,300–23,400 as immediate resistance, followed by a major level of 23,800 later. He specified the level of support in the form of adequate support areas in 23,000 (50-DEMA) and 22,800.
