Daijiworld Media Network- Mumbai
Mumbai, Apr 19: Indian equity markets witnessed a sharp rebound this holiday-shortened week, with benchmark indices surging over 4.5%, buoyed by favourable domestic cues and global market stability.
The NSE Nifty closed at 23,851.65, while the BSE Sensex wrapped up at 78,553.20 — both near their weekly highs. Experts attributed the rally to easing retail inflation, a promising monsoon forecast, and positive global sentiment.
Ajit Mishra, SVP – Research, Religare Broking Ltd., remarked, “The Nifty index, which has been oscillating between 21,700–23,800 levels, has now tested the upper band and reclaimed its 100 and 200-day EMAs. If momentum sustains, we could see the index aiming for the 24,250–24,600 range soon.”
Banking stocks led the rally, supported by the drop in inflation and anticipation of potential interest rate cuts by the Reserve Bank of India. The mood was further bolstered by tariff deferrals and exemptions on key goods, calming fears of trade disruptions.
Market participants also took comfort in a declining India VIX, a key volatility gauge, signalling improved investor confidence after recent market turbulence.
Mishra added, “With reduced uncertainty and strong momentum, a ‘buy on dips’ approach remains favorable as long as Nifty holds above the 23,000 level.”
Meanwhile, a research report from Bajaj Broking advised caution amid ongoing Q4 earnings and tariff policy developments, suggesting key support at the 23,200 mark. “Any dip during the week should be treated as an opportunity to accumulate quality stocks,” the report stated.
With a robust close and strong technical cues, investors and traders are now eyeing further gains in the coming sessions.