Market uptrend continues; IT and banks lead gains

The BSE Sensex soared 0.66 per cent reaching a level of 81,617. The Nifty 50 index climbed 0.60 per cent to the 24,970 level.

Market Update at 9:40 AM: Indian benchmarks demonstrated the expected strength in early trades today, starting the week on an upbeat note.

At 9:40 am, the BSE Sensex soared 0.66 per cent reaching a level of 81,617. The Nifty 50 index climbed 0.60 per cent to the 24,970 level. Within the Nifty 50, Wipro, LTIMindtree and Oil & Natural Gas Corporation were among the leading gainers, whereas Apollo Hospitals, Hero Motocorp and Bharat Petroleum Corporation were among the market draggers.

The broader market also experienced optimistic investor sentiment, with Mid-Cap and Small-Cap indices rising in line with the main indices. With 1,562 shares rising on the NSE and 744 shares declining, the advance-decline ratio strongly remained in favour of advances.

In terms of sectoral performance, all indices were trading notably higher except for healthcare, pharma, and FMCG, while IT, financial services, and banks led the gains.

Pre-Market Update at 8:30 AM: Wall Street indices closed significantly higher on Friday as investor sentiment improved following Federal Reserve Chair Jerome Powell's remarks on monetary policy easing, stating, "The time has come for policy to adjust." The Nasdaq Composite Index climbed 1.47 per cent, the S&P 500 surged 1.15 per cent, and the Dow Jones Industrial Average gained 1.14 per cent.

Major Asian markets gained strength as investors anticipated upcoming interest rate cuts. The GIFT Nifty was trading at a premium over the previous close of Nifty futures, suggesting a positive opening for India's leading indices.

The dollar declined after Fed gave a clear signal that the long-awaited U.S. interest rate cut is expected next month. Oil prices rose after Israel and Hezbollah exchanged rocket fire and air strikes on Sunday, heightening concerns about potential supply disruptions if the conflict were to intensify.

On August 23, both foreign institutional investors (FIIs) and domestic institutional investors (DIIs) were net buyers, with FIIs purchasing shares worth Rs 1,944 crore and DIIs making a significant inflow of Rs 2,896 crore.