The BSE Sensex surged 300+ points to 79,400, while NSE Nifty climbed 100 points above the 24,000 mark
The stock market on Friday displayed a mix of gains and caution as the BSE and NSE indices rose following a subdued start. The trading action was led by notable performances in healthcare and Adani Group stocks, alongside developments in global markets, sectoral trends, and IPO updates.
Market Performance Overview
The BSE Sensex opened slightly lower at 79,032 but quickly gained momentum, climbing over 300 points to reach 79,400 levels. On the NSE, the Nifty index advanced 100 points to surpass the 24,000 mark, signaling positive market sentiment. Among the Nifty 50 stocks, HDFC Life, Sun Pharma, SBI Life, Cipla, Adani Enterprises, and Adani Ports gained over 1% each. On the downside, Power Grid Corporation was the only stock to register a loss exceeding 1%.
In the broader market, the Nifty MidCap index dipped 0.1%, while the SmallCap index gained 0.3%. India VIX, an indicator of market volatility, rose by 1.2% to 15.39, reflecting a slight increase in investor caution.
Sectoral Trends
Healthcare and Adani Group shares were the primary drivers of market gains. The Nifty Media index led the sectoral rally, soaring over 2%, while the Pharma and Healthcare indices followed with gains of up to 1.3%. The Nifty PSU Bank index advanced 0.8%, supported by positive activity in state-owned banks. The Nifty Bank and Nifty Auto indices also showed modest growth, climbing 0.4% each.
Among new entrants in the futures and options segment, stocks like Adani Green, Adani Energy Solutions, Adani Total Gas, Paytm, and LIC logged strong gains. Meanwhile, Zomato and PolicyBazaar saw declines in intra-day trading, reflecting mixed sentiment in newly included stocks.
Factors Influencing the Market
Quarterly GDP Data: Market participants await the release of Q2 GDP numbers, which are expected to provide insights into the economy’s performance and potential growth trajectory.
Foreign Investor Activity: Concerns have resurfaced regarding foreign institutional investors (FIIs), who resumed selling after a brief period of net buying. On November 28, FIIs net sold stocks worth ₹11,756.25 crore, while domestic institutional investors (DIIs) net bought ₹8,718.30 crore.
Global Tensions: Market reactions were tempered by geopolitical concerns, including Russia’s attacks on Ukraine’s energy infrastructure, which created volatility in the previous session.
Regulatory Changes and Market Rules
The BSE has announced a significant change in the expiry schedule for its derivatives contracts. Starting January 1, 2025, the expiry day for weekly and monthly derivatives contracts for Sensex, Bankex, and Sensex 50 will shift from Friday to Tuesday. Additionally, SEBI has proposed interoperability of stock exchanges across all segments, including cash, derivatives, and currency markets. This move, expected to take effect from April 1, 2025, aims to enhance market efficiency and liquidity.
IPO Updates
The primary market remains active, with notable IPO activities on Friday. Enviro Infra Engineers (Mainline) and Lamosaic India (SME) debuted on the exchanges, with Enviro Infra Engineers commanding a premium exceeding 30% in the grey market. Subscription windows remain open for other IPOs, including Suraksha Diagnostic (Mainline), Ganesh Infraworld (SME), Agarwal Toughened Glass India (SME), Abha Power and Steel (SME), and Apex Ecotech (SME). Rajputana Biodiesel IPO (SME) is set to finalize its allotment today, drawing attention from retail and institutional investors.
Global Market Trends
Asian markets presented a mixed picture on Friday. Japan’s Nikkei index dropped 0.7%, influenced by strong inflation data from Tokyo that suggested an imminent rate hike from the Bank of Japan. The yen surged, bringing its weekly gain to 3%, its best performance since late July. Meanwhile, South Korea’s Kospi index plunged 1.7%, while Taiwan and Hong Kong’s Hang Seng indices declined by 0.3% each. China’s Shanghai Composite index managed a modest gain of 0.2%.
In the U.S., markets were closed on Thursday for the Thanksgiving holiday and will operate for a shortened session today. Global commodities, particularly oil, experienced upward price movements amid renewed geopolitical tensions between Israel and Hezbollah. OPEC+ postponed its meeting to discuss extending production cuts, further contributing to uncertainty in the oil market.
Key Takeaways from Thursday’s Session
The previous trading session saw declines in both the Sensex and Nifty, with losses of up to 1.5% attributed to the monthly F&O expiry and concerns stemming from Russia’s widespread attack on Ukraine’s energy infrastructure. Despite the dip, certain sectors and stocks managed to retain investor interest, providing a foundation for Friday’s rebound.
Commodities and Currency Markets
Oil prices edged higher due to heightened tensions in the Middle East and OPEC+ deliberations. The dollar weakened against the yen as Japan’s inflation data boosted expectations of a rate hike, making the yen more attractive to traders. Currency movements and commodity prices remain critical variables influencing investor sentiment globally.
Outlook for the Day
The focus for the remainder of the day will shift to key economic indicators, including GDP figures and global market trends. Domestic equities may face pressure from resumed foreign investor selling, but strong support from DIIs and positive momentum in specific sectors could help sustain gains. Attention will also remain on new IPO listings and their impact on broader market activity.
The stock market reflects a dynamic interplay of domestic and international factors, with sectoral performances and regulatory updates shaping trading behavior. Investors are advised to remain cautious amid global uncertainties while keeping an eye on long-term growth opportunities across sectors.
