Ending three consecutive sessions of losses, Indian shares rebounded on Friday. The optimism derive from the belief that the United States would reach a debt ceiling agreement soon to avert a default. The Nifty 50 index rose 0.41%, closing at 18,203.40, while the S&P BSE Sensex boost by 0.48% to 61,729.68. However, for the week, both indexes experienced decrease of 0.61% and 0.48% respectively.
The recent profit booking was noticed after a rally during the earnings season and consistent buying by foreign institutional investors. Globally, equities reached a one-month high due to growing hopes of a US debt ceiling resolution to prevent a potential default.
Independent market expert Neeraj Dewan believes that owing to profit-taking at higher levels, the market may stabilize at present levels and undergo a minor drop.
In terms of sectoral performance, ten out of thirteen major sectoral indexes recorded gains, with the auto, IT and bank indexes showing advances ranging from 0.5% to 1.47%.
Regarding individual stocks, all seven Adani Group companies, including Adani Power Ltd, Adani Ports and Special Economic Zone Ltd, ,Adani Enterprises Ltd Adani Transmission Ltd, Adani Green Energy Ltd, Adani Total Gas Ltd, and Adani Wilmar Ltd, saw gains between 3% and 6.9%.
A court-appointed panel observed the existence of short positions on Adani group equities prior to the Hindenburg report based on data from the market regulator. It did not, however, definitively establish if there were regulatory lapses connected to pricing manipulations.
Foreign institutional investors (FIIs) continued their buying streak for the sixteenth session consecutively, marking the longest such streak since December 2020. On Thursday, they purchased 9.70 billion rupees (around $119 million) worth of shares on a net basis.
