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Key Points

The Indian stock market opened in positive territory on Monday, with benchmark indices showing strong gains led by IT and PSU banking stocks. Analysts attribute the upbeat sentiment to the RBI's recent monetary policies and improving corporate earnings. Foreign institutional investors continued their buying spree, purchasing equities worth over ₹1,000 crore. Traders are advised to maintain a disciplined approach amid global market uncertainties.

Key Points: Sensex, Nifty Surge on RBI Boost and IT Bank Gains

  • - Sensex rises 0.46% with IT and PSU banks driving momentum
2 min read

Indian stock market opens in green, IT and PSU banks lead

Indian markets open strong with IT and PSU banks leading, driven by positive global cues and RBI's monetary support

"Q4 results indicate better earnings growth for midcaps - Dr VK Vijayakumar, Geojit Investments"

Mumbai, June 9

The Indian benchmark indices opened higher on Monday amid positive global cues, as buying was seen in the IT, PSU banks and auto sectors in the early trade.

At around 9.26 am, Sensex was trading 379.01 points or 0.46 per cent up at 82,568 while the Nifty added 116.15 point or 0.46 per cent at 25,119.20.

Nifty Bank was up 273.35 points or 0.48 per cent at 56,851.75. The Nifty Midcap 100 index was trading at 59,405.95 after rising 395.65 points or 0.67 per cent. Nifty Smallcap 100 index was at 18,711.90 after climbing 129.45 points or 0.70 per cent.

According to analysts, the monetary bazooka fired by the RBI last week will keep the market spirits alive in the near-term.

But this may not be sufficient to sustain the rally, and more important is the trend in earnings growth, they added.

"Q4 results indicate better earnings growth for midcaps. FY26 earnings are unlikely to reach mid teens, which is necessary for the market to remain resilient and move up," said Dr VK Vijayakumar, Chief Investment Strategist, Geojit Investments Ltd.

Meanwhile, in the Sensex pack, Bajaj Finance, Axis Bank, IndusInd Bank, Kotak Mahindra Bank and Infosys were the top gainers. Whereas, Titan, Tata Steel and Eternal were the top losers.

After a positive opening, Nifty can find support at 25,000, followed by 24,900 and 24,800. On the higher side, 25,100 can be an immediate resistance, followed by 25,200 and 25,300, said experts.

Given the current market dynamics and lingering global uncertainties, traders are advised to maintain a disciplined approach. It is prudent to avoid taking large overnight positions and instead focus on short-term trading opportunities, backed by strict stop-losses and robust risk management, said Hardik Matalia from Choice Broking.

The foreign institutional investors (FIIs) purchased equities worth Rs 1,009.71 crore on June 6, while domestic institutional investors (DIIs) extended their buying on the 14th day, as they bought equities of Rs 9,342.48 crore on the same day.

In the Asian markets, Hong Kong, Bangkok, China, Seoul and Japan were trading in green.

In the last trading session, Dow Jones in the US closed at 42,762.87, up 443.13 points, or 1.05 per cent. The S&P 500 ended with a gain of 61.06 points, or 1.03 per cent, at 6,000.36 and the Nasdaq closed at 19,529.95, up 231.51 points, or 1.20 per cent.

- IANS

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Reader Comments

Here are 6 authentic Indian perspective comments for the stock market article:
R
Rahul K.
Great to see PSU banks performing well! This shows investor confidence in our banking sector reforms. But I hope RBI keeps inflation in check - that's the real test for sustainable growth. 🚀
P
Priya M.
As a small investor, I'm happy with midcap and smallcap performance. But experts are right - we need to be careful with overnight positions. Market looks bullish but global uncertainties can change things quickly.
A
Amit S.
IT sector leading again! Shows our tech companies are adapting well to global challenges. But why is Tata Steel underperforming? Need to analyze if this is temporary or structural issue.
S
Sunita R.
The DII buying streak is impressive! Shows domestic investors believe in India's growth story more than FIIs. But we shouldn't ignore Dr. Vijayakumar's warning about earnings growth - that's the real fuel for markets.
V
Vikram J.
Positive opening is good but let's not get carried away. Remember what happened last month when markets corrected sharply after similar rallies. Strict stop-loss is the mantra as Hardik Matalia suggested.
N
Neha P.
As a salaried person investing through SIPs, I'm not worried about daily fluctuations. But articles like this help understand market trends better. More power to Indian markets! 🇮🇳

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