Sensex gains 528 points, Nifty tops 23,000 on IT
On Wednesday, October 21, Indian stock markets had a strong day: Sensex gained 528 points, or 0.72%, to trade at 74,381.08 at 9:18am and Nifty rose 0.63% to trade at 23,032.05.
The rally was mostly thanks to IT giants like Infosys and TCS, which rose around 2.5% and about 2%, respectively.
Geojit strategist warns market pressure
Tech wasn't the only winner: Tech Mahindra and HCL Tech also helped push the Nifty IT index up by 1.6%. Sectors like PSU banks, oil and gas, and cement saw smaller but steady gains too.
While broader indices were mostly positive, small-cap stocks lagged behind a bit.
V K Vijayakumar, chief investment strategist at Geojit Investments, summed it up: "With Brent crude prices and US bond yields remaining elevated, the market is likely to remain under pressure. The sell on rally market construct will continue in the near-term. However, the improving earnings growth, fair valuations of large-caps, and strong domestic liquidity will support the market on declines. Since the two large laggard sectors - IT and banking, have performed well in Q2 and are attractively valued, further corrections in these sectors will be met with strong DII-led accumulation."