On the strength of encouraging developments in international markets, the major Indian indices, the BSE Sensex and NSE Nifty, saw gains on Friday, May 3.The Nifty broke beyond previous levels of 22,783.3 to hit a new all-time high.
The 30-share NSE Nifty50 increased 139.5 points to a record high of 22,787.70, while the 30-share BSE Sensex surged 470.92 points to 75,082.03.
Shares of the Bajaj group, including Bajaj Finance and Bajaj Finserv, led the surge.
After the Reserve Bank of India (RBI) removed limits on Bajaj Finance’s ability to approve and disburse loans via eCOM and Insta EMI Cards, the company’s shares increased by 6% and 5%, respectively, from the Sensex basket. The other big winners were Tata Steel, JSW Steel, NTPC, and ICICI Bank.
Among the laggards were Larsen & Toubro, Asian Paints, Maruti, Bharti Airtel, and Maruti.
Because of the company’s disregard for the current terms of the digital lending guidelines, the RBI had instructed Bajaj Finance in November 2023 to cease sanctioning and disbursing loans under its two lending products, eCOM and Insta EMI Card.
“The market is feeling more optimistic now that Bajaj Finance’s eCOM is no longer restricted. According to Prashanth Tapse, Senior VP (Research), Mehta Equities Ltd., investors are anticipating the US jobs report for April with great anticipation and are also closely monitoring the Q4 corporate profits from India Inc., as reported by PTI.
Shanghai quoted lower than Seoul and Hong Kong, which were trading in positive territory in the Asian markets.
On Thursday, US indices gradually increased due to gains in IT sectors, particularly Apple, which declared the biggest share repurchase ever. The manufacturer of iPhones will pay almost $110 billion for the repurchase.
heavy on technology The Dow Jones Industrial Average (DJIA) crept up 322.37 points, or 0.85 percent, to 38,225.66, while the NASDAQ recorded the largest leap at 235.48 points, or 1.51 percent higher, at 15,840.95. The S&P 500 increased by 0.91 percent to 5,064.20.
Both domestic and international cues are supportive of the markets. The drop in the US dollar index to 105.3, the correction in the yield on the US 10-year bond to about 4.5%, and the drop in Brent crude below USD 84 per barrel will bolster the bulls even more. The robust buying by DIIs, enabled by the steady flow of money, is the market’s strongest pillar of support, according to V K Vijayakumar, Chief Investment Strategist, Geojit Financial Services.
