Key Highlights:
- Sensex gains 442 pts, Nifty breaches 25,000 level after banking stocks rally.
- ICICI Bank up 2.76 percent on strong earnings; HDFC Bank gains despite profit dip.
- Reliance falls 3.29 percent, even with record Rs 26,994 crore profit.
Mumbai: Indian stock markets opened the week on a strong note as benchmark indices surged on Monday, snapping a two-day losing streak. The 30-share BSE Sensex climbed 442.61 points (0.54 percent) to close at 82,200.34, while the Nifty 50 rose 122.30 points (0.49 percent) to settle at 25,090.70, breaching the psychological 25,000-mark.
The rally was driven largely by buying in blue-chip banking stocks, especially HDFC Bank and ICICI Bank, following their Q1 earnings announcements. Positive cues from Asian markets and renewed foreign institutional investment (FII) inflows also helped lift market sentiment.
ICICI Bank, HDFC Bank Lead the Recovery
Among the top gainers on the Sensex, ICICI Bank jumped 2.76 percent after it reported a 15.9 percent YoY rise in consolidated net profit to Rs 13,558 crore for the June quarter. Despite a 1.31 percent dip in net profit to Rs 16,258 crore, HDFC Bank gained 2.19 percent, indicating investor confidence in its long-term outlook.
Other gainers included Eternal, which surged 5.38 percent post-Q1 results, Mahindra & Mahindra, Bharat Electronics, Kotak Mahindra Bank, and Tata Motors.
Reliance Slips Despite Record Profit
In contrast, Reliance Industries, India’s most valuable company, declined 3.29 percent, even though it posted its highest-ever quarterly profit of Rs 26,994 crore—a massive 78.3 percent YoY growth—led by consumer businesses and strategic asset sales. The fall suggests that some investors may have opted to book profits or were cautious despite strong numbers.
IT majors including HCL Tech, Tata Consultancy Services (TCS), Hindustan Unilever, and ITC were also among the laggards, capping overall market gains.
Global Cues Support Market Momentum
A firm trend in Asian markets—with South Korea's Kospi, China’s Shanghai Composite, and Hong Kong's Hang Seng closing in the green—contributed to the positive sentiment. Japanese markets were shut for a holiday.
However, European markets were trading lower, and US markets closed mixed on Friday. Meanwhile, Brent crude oil fell 0.48 percent to USD 68.93/barrel, offering some relief to import-heavy economies like India.
Foreign Institutional Investors (FIIs) were net buyers, purchasing ₹374.74 crore worth of equities on Friday, as per exchange data.
(With PTI Inputs)
