Nifty hits record high as IT stocks surge
The Nifty reached a new record high on Friday morning, driven by significant gains in IT stocks. This surge followed Accenture's forecast of annual revenue growth exceeding expectations due to increased demand for its artificial intelligence tools. Consequently, Accenture's stock soared over 7% in the overnight US trading. The Sensex also continued its upward trend from the previous session, with market participants remaining optimistic.
Sensex, Nifty continue upward trend in early trade
At 9:45 am, the Sensex was up 0.13% at 77,576.47, and the Nifty was up 0.19% at 23,612.80. The IT index was trading 2.3% higher with LTIMindtree being the biggest gainer, rising over 3%. "IT is a sector which has not seen the kind of returns that overall market has and now a catch-up rally has begun where shares start performing," said Ruchin Jain, lead research analyst at 5Paisa.
IT, healthcare, pharma indices trade in green
Of the 13 sectoral indices, only IT, Healthcare, and Pharma were trading in the green while FMCG index was the worst hit. The broader market, including midcaps and small-caps outperformed headline indices and were trading at 0.5% and 0.6% higher, respectively. All major IT stocks—LTIMindtree, Tech Mahindra, HCL Tech, Infosys, and TCS—were top performers on the Nifty.
Market optimism fuels continued gains
The market's positive trajectory is also attributed to factors such as the upcoming budget, policy continuity, and a potential return of foreign institutional investors (FIIs). On June 18, benchmark equity indices ended strong with NSE Nifty 50 closing at a record high for the fourth session in a row. "Political stability, good fundamentals, and good macro-economic factors are playing out well for India and this should continue," said Aishvarya Dadheech, founder and CIO of Fident Asset Management.
