Markets rally on strong FII inflows and oil price decline; Adani Group shares surge
Indian Stock Market Rally: FII Inflows, Oil Price Drop Boost Sensex and Nifty; Adani Shares Soar
Table of Contents
Market Overview and Key Drivers
Indian equity markets maintained their bullish momentum on Tuesday, with the Sensex opening at 80,907.24 and Nifty at 24,500.75. The positive sentiment was primarily driven by sustained foreign institutional investor (FII) inflows and declining crude oil prices, creating a favorable environment for Indian equities.
Key Market Indicators
- Sensex: 80,753.58 (as of 9:45 AM)
- Nifty: 24,457.90
- FII Inflows: ₹40,623 crore (last 13 sessions)
- WTI Crude Oil: $56.70
Adani Group’s Strong Performance
Adani Group stocks emerged as the standout performers in early trade, with multiple companies recording significant gains. The rally comes amid reports of Adani executives meeting with US President Trump’s officials, potentially addressing previous concerns about Indian power contracts and investor relations.
Adani Stocks Movement
- Adani Enterprises: +8% (₹2,480)
- Adani Ports & SEZ: +7% (₹1,358)
- Adani Green Energy: +8% (₹978)
- Adani Total Gas: +11% (₹664)
Sector-wise Movement
The auto sector showed strong momentum, led by M&M’s impressive Q4 results. However, pharmaceutical stocks faced selling pressure, creating a mixed sectoral performance scenario. The sustained FII buying continues to provide underlying support to the market.
Sector Highlights
- Auto Sector: M&M (+3.58%), Hero MotoCorp (+2.98%), Eicher Motors (+2.13%)
- Pharma Sector: Cipla (-1.88%), Dr. Reddy’s (-1.34%), Sun Pharma (-1.02%)
- FII Activity: Net equity purchases of ₹497 crore
- DII Investment: ₹2,788 crore
Global Factors and Future Outlook
Market participants are closely watching several global developments, including the upcoming US Federal Reserve policy decision and US-China trade talks. Additionally, potential tariff cuts in India-US trade negotiations could impact specific sectors.
Technical Outlook
The market has been trading within a defined range of 24,200-24,500 for the past seven sessions. A breakthrough above 24,500 could target 25,000, while a break below 24,200 might lead to a decline towards 23,800.
Several major companies are scheduled to announce their quarterly results today, including Godrej Consumer, Bank of Baroda, BSE Ltd., Polycab, HPCL, Paytm, and Mahanagar Gas, which could influence market movement. The combination of strong FII inflows, favorable oil prices, and positive corporate earnings continues to support the market’s upward trajectory.
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