Sensex, Nifty rebound with modest gains amid IT boost, end week in green – CNBC TV18

The domestic markets closed on a positive note this week, with a sharp intra-day surge on Friday helping both the Sensex and Nifty indices record modest gains for the week.

The Sensex rose 843 points, closing at 82,133, while the Nifty gained 220 points to settle at 24,768.

Both indices had been trading in the red earlier in the week but saw a recovery led by strong performances in IT stocks. The Nifty IT index surged nearly 7% over the past two weeks, boosting overall market sentiment.

A key boost for the domestic bourse was also the softer inflation data for last month. India’s Consumer Price Index (CPI) inflation for November eased to 5.48%, slightly lower than CNBC-TV18’s poll estimate of 5.5%. This marks a decrease from October’s inflation rate of 6.21%, reflecting a deceleration in price rises across several key sectors.

Meanwhile, there were some notable drag factors during the week. Public sector undertakings (PSU) banks and FMCG stocks underperformed, contributing to the market’s volatility. FMCG stocks faced headwinds amid subdued demand in the country.

The rally was broad-based, with more than 40 Nifty stocks ending the day higher, as investor sentiment improved towards the close. The Nifty Bank index rose by more than 1,000 points from its lows, led by key financial stocks such as ICICI Bank and HDFC Bank. On the other hand, the Nifty Midcap index ended the day slightly lower, down by 30 points to 58,992, as losses in some midcap stocks weighed on broader indices.

Among the key gainers on the Nifty on Friday, telecom giant Bharti Airtel stood out, surging more than 4% after unveiling plans to boost its services for the New Year.

Other noteworthy developments included Bajaj Auto’s rise, as the company cemented its position as the top player in the 2-wheeled electric vehicle (EV) space, up 2% from lows.

Consumer goods stocks such as Page Industries reached new 52-week highs, buoyed by reports of improved demand.

Inflation data pressured non-banking financial companies (NBFCs), with Shriram Finance being the top Nifty loser, down 2%.

Stocks like Tata Consumer Products, Hindustan Unilever (HUL), NTPC, Tata Motors, and Axis Bank dragged the index lower, with each of these stocks experiencing declines.