Are Nifty and Sensex Rising? Adani Ports Leads the Charge!
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Synopsis
On May 5, Indian equity indices opened positively, with heavyweights like Adani Ports and Asian Paints driving gains. Analysts suggest traders maintain moderate positions amid geopolitical tensions and evolving market trends. With strong buying from FIIs and DIIs, the market shows potential for continued growth.
Key Takeaways
- Sensex rose by 280 points, while Nifty climbed 90 points.
- Adani Ports and Asian Paints were top gainers.
- Midcap and smallcap stocks showed positive momentum.
- FIIs continued to be net buyers, signaling confidence.
- Analysts recommend keeping an eye on resistance and support levels.
Mumbai, May 5 (NationPress) The Indian stock market indices opened positively on Monday, buoyed by major players such as Adani Ports, Asian Paints, Titan, and Tata Motors, which contributed to the upward trajectory.
By around 9:22 am, the Sensex had increased by 280 points, marking a rise of 0.35 percent to reach 80,782, while the Nifty climbed 90 points, or 0.37 percent, settling at 24,436.
Investors showed interest in midcap and smallcap stocks, with the Nifty midcap 100 index gaining 321 points, a 0.6 percent increase, reaching 54,026, and the Nifty smallcap 100 index rising by 4 points to 16,446.
“Following a strong start, Nifty could find support levels at 24,300, 24,200, and 24,000. On the upside, immediate resistance may be encountered at 24,500, followed by 24,600 and 24,800,” noted Hardik Matalia from Choice Broking.
Sectors such as automobile, IT, pharmaceuticals, FMCG, and infrastructure emerged as primary gainers, while PSU banks, media, and realty faced significant losses.
Among the Sensex constituents, notable gainers included Adani Ports, Asian Paints, Titan, Bajaj Finserv, M&M, Power Grid, HCL Tech, Tata Motors, TCS, Infosys, HDFC Bank, and ITC. Conversely, Kotak Mahindra Bank, SBI, L&T, and IndusInd Bank were among the major losers.
Most major regional exchanges, including Tokyo, Shanghai, Hong Kong, and Seoul, were closed due to public holidays, while Australia's markets traded lower.
The US markets ended positively on Friday, with the technology index Nasdaq surging by 1.51 percent during the session.
Devarsh Vakil, Head of Prime Research at HDFC Securities, commented, "Markets are navigating through geopolitical tensions and ongoing legal uncertainties, which could impact short-term price movements while following a general recovery trend. Traders should maintain moderate positions as these dynamics unfold."
Foreign institutional investors (FIIs) remained net purchasers for the 12th consecutive session on May 2, acquiring equities worth ₹2,769 crore. Domestic institutional investors (DIIs) also actively bought equities amounting to ₹3,290 crore.
After previously being net sellers, FIIs have shifted gears by covering short positions in index derivatives and emerging as significant buyers in cash markets. They are drawn to sector rotation opportunities and a strengthening rupee, which enhances their dollar-adjusted returns.
Analysts observe that the markets are still navigating geopolitical developments and evolving legal uncertainties, which may influence short-term price movements in the context of a broader recovery trend.
Point of View
I believe that the current market trends reflect the resilience of Indian equities amidst global uncertainties. The significant participation of foreign and domestic institutional investors indicates a cautious optimism. Our focus remains on providing accurate and timely information to empower our readers in their investment decisions.
NationPress
21/05/2025
Frequently Asked Questions
What factors are driving the rise in Nifty and Sensex?
The rise is primarily driven by strong performances from heavyweights like Adani Ports, Asian Paints, and Tata Motors, coupled with positive foreign institutional investment.
What does the market outlook look like?
Analysts suggest that while there are potential resistance points to watch, the overall sentiment remains bullish with support levels identified for Nifty.
How are international markets influencing Indian equities?
International market trends, particularly from the US and major Asian markets, are providing a backdrop of positive sentiment, which is reflected in the Indian market's performance.
