Indian Equity Benchmarks Continue Upward Trend

This Monday morning, the Indian equity benchmark indices, BSE Sensex and Nifty50, continued their impressive upward trajectory. The BSE Sensex soared past the 79,000 mark, while the Nifty50 was tantalizingly close to reaching 24,000. At 9:16 AM, the BSE Sensex was trading at 79,105.49, up by 552 points or 0.70%. Similarly, the Nifty50 stood at 23,996.50, up by 145 points or 0.61%.

Dr. VK Vijayakumar, Chief Investment Strategist at Geojit Investments Limited, commented, "Even though the global economic scenario is mired in uncertainty, India appears relatively resilient. India is the only large economy which can grow at 6% even in a slowing global economy. This, along with the declining dollar, has the potential to attract more FPI inflows into India in the short run."

Corporate Results and Market Focus

The market's positive momentum last week was fueled by optimism over tariff postponements and product exemptions, hinting at potential progress in trade-related discussions. This week, the focus shifts to corporate results, with major firms like HCL Technologies, Axis Bank, Hindustan Unilever, and Maruti set to release their quarterly figures.

Global Market Influences

Early Monday trading showed declining US stock-index futures and dollar values as market participants remained cautious amidst US trade discussions with Japan and the European Union, alongside Trump's Fed criticism. Oil prices dropped approximately 1% following progress in US-Iran nuclear discussions, easing worries about supply constraints from the significant Middle Eastern producer.

Gold achieved an all-time high on Monday whilst the US dollar declined to its lowest point in three years. Concerns about trade disputes between the US and its primary trading associates fueled recession worries, prompting investors to seek refuge in the precious metal.

Investment Strategies and Outlook

According to Dr. Vijayakumar, "The Q4 results of HDFC Bank and ICICI Bank have the potential to take Bank Nifty to all-time high. The focus of the FIIs will be on domestic consumption themes like financials, telecom, aviation, hotels, select autos, real estate, cement, and healthcare. Growth stocks in the digital space also have the potential to move up. IT will continue to be under pressure since the growth outlook for the sector is bleak due to the expected sharp slowdown in the US economy."