Sensex Jumps 331 Points, Nifty Holds Above 24,150 as IT Stocks Drive Gains

Stock Market Today, August 28: Indian equity markets ended higher on Friday, recovering from early weakness as strong buying in information technology stocks lifted the benchmark indices.

The Sensex gained 330.92 points, or 0.43%, to close at 77,264.51, while the Nifty rose 84.80 points, or 0.35%, to settle at 24,175.65. The Sensex opened at 77,128.05 and traded between an intraday high of 77,357.97 and a low of 76,988.22. The Nifty remained largely range-bound, hitting a high of 24,188.30 and a low of 24,076.85 during the session.

IT STOCKS LEAD MARKET RECOVERY

Information technology stocks emerged as the biggest contributors to Friday’s gains. The Nifty IT index jumped 3.51%, its strongest sectoral performance of the day, tracking an overnight rally in US technology shares.

The positive sentiment came amid renewed optimism over artificial intelligence spending following Nvidia’s strong second-quarter results and upbeat revenue outlook. The Nifty MidSmall IT & Telecom index also advanced 2.26%.

Other sectors also ended in positive territory, with the Nifty Metal index gaining 0.75%, while Pharma and Healthcare rose 0.53% and 0.54%, respectively.

Broader markets were mixed. The Nifty 100 rose 0.24%, the Nifty 200 gained 0.20% and the Nifty 500 advanced 0.20%. The Nifty Smallcap 250 also ended 0.34% higher.

CHEMICALS, FMCG AMONG LAGGARDS

On the losing side, the Nifty Chemicals index declined 0.70%, followed by Cement, which fell 0.56%. Consumer Durables slipped 0.48%, while FMCG declined 0.46%. Realty and Private Bank indices also ended slightly lower.

Among Sensex constituents, TCS was the standout performer, climbing 4.09%. Infosys gained 3.34%, while Tech Mahindra and HCL Technologies rose 3.18% and 2.68%, respectively.

ICICI Bank, UltraTech Cement, Asian Paints, Maruti Suzuki and Bajaj Finserv were among the notable laggards.

India VIX, a measure of market volatility, fell 4.02% to 10.62, signalling relatively subdued near-term volatility.

WHAT EXPERTS SAY

Siddhartha Khemka, head of research (wealth management) at Motilal Oswal Financial Services, said Indian equities could continue trading within a broader range amid a lacklustre environment, mixed global cues and persistent geopolitical tensions.

He noted that Brent crude had cooled to around $88 a barrel, declining nearly 8% over the previous nine days. Investors, he said, remained focused on geopolitical developments as well as key global and domestic macroeconomic triggers.

Khemka also highlighted the Nifty IT index as the day’s strongest performer, rising more than 3% after the overnight rally in US technology stocks and a recovery from the sector’s recent sell-off.

He added that higher raw material costs continued to weigh on FMCG stocks.