IT Giants Lead Early Market Rally as Sensex, Nifty Stay in Positive Territory

Indian equity benchmarks opened on a firm note on Thursday, with IT stocks leading the rally as sustained foreign institutional investor (FII) inflows, easing global crude oil prices and positive domestic sentiment supported early trade despite mixed cues from international markets.

The BSE Sensex climbed 75.71 points to 77,726.62 during early trade, while the NSE Nifty advanced 26.90 points to 24,275.85, extending the momentum after Wednesday's sharp rally.

Among the biggest gainers on the Sensex were Infosys, Tech Mahindra, HCLTech, Tata Consultancy Services (TCS), Mahindra & Mahindra and Sun Pharma, reflecting strong buying interest in technology and select blue-chip counters. On the other hand, Adani Ports, Asian Paints, Eternal and Bharat Electronics traded lower, limiting the broader market's gains.

Investor confidence received another boost after exchange data showed that Foreign Institutional Investors (FIIs) purchased equities worth Rs 2,981.87 crore on Wednesday, reinforcing optimism over continued overseas participation in Indian markets.

Adding to the positive sentiment, Brent crude declined 1.26 per cent to USD 89.60 per barrel, a development that could ease inflationary pressures for oil-importing economies like India and improve the outlook for several sectors.

Asian markets, however, presented a mixed picture. South Korea's KOSPI, China's Shanghai SSE Composite and Hong Kong's Hang Seng traded lower, while Japan's Nikkei 225 remained in positive territory.

In the United States, markets ended sharply lower overnight after the US Federal Reserve kept interest rates unchanged but struck a hawkish tone. According to Rajesh Palviya, Head of Research at Axis Direct, dissent from three policymakers in favour of a rate hike pushed long-term Treasury yields higher, weighing on investor sentiment. The Dow Jones, S&P 500 and Nasdaq all closed with notable losses.

On Wednesday, the Sensex had surged 888.68 points, while the Nifty gained 264.85 points, providing a strong foundation for Thursday's positive opening.