Closing Bell: Market Ends At 1-Week High; Sensex & Nifty Jump Over 2% Each; Reliance & Infosys Lead

The Indian equity markets ended Friday, November 22, on a strong note, closing at a one-week high ahead of the Maharashtra and Jharkhand poll results. Benchmark indices Sensex and Nifty 50 recorded robust gains of over 2% each, driven by buying in heavyweight stocks such as Reliance Industries, ICICI Bank, Infosys, and ITC.

The Sensex surged by 1,961 points, or 2.54%, to close at 79,117, hitting an intra-day high of 79,200. Similarly, the Nifty 50 climbed 557 points, or 2.39%, to settle at 23,907 after briefly crossing 23,950 during the session. Broader market indices, including the BSE Midcap and Smallcap, also registered gains, though they underperformed relative to the benchmarks. BSE Midcap Index rose by 1.16%, or 632 points, to close at 55,017. Nifty Bank Rose 763 points, or 1.51%, to end at 51,135. Advances outpaced declines with a 2:1 advance-decline ratio.

Sectoral indices showcased strong momentum, barring Nifty Media, which dipped marginally by 0.32%. Nifty IT and Realty topped the charts, each gaining over 3%. PSU Banks, Oil & Gas, FMCG advanced by 2-3%. Nifty Bank gained 1.51%, bolstered by banking heavyweights like ICICI Bank and SBI.

Only one stock, Bajaj Auto, closed in the red within the Nifty 50 index, falling by 0.39%. Praj Industries jumped 15% as the company revealed plans to triple its revenue by 2030. Shipping Corp of India (SCI) rose 7% on reports of new shipping sector-related bills to be introduced in the Winter Session of Parliament.

Paytm gained nearly 7%, marking its fifth consecutive session in the green. Laurus Labs moved up 5% on strong trading volumes. Info Edge advanced 6% on positive brokerage recommendations from Goldman Sachs and Morgan Stanley. Mahanagar Gas gained 3% after the company hiked CNG prices in Mumbai.

Apollo Micro Systems bucked the trend, ending in the red following the withdrawal of a preferential warrants issue.

The strong rally added significant wealth for investors. The market capitalization of BSE-listed companies rose from Rs 425.4 lakh crore in the previous session to Rs 432.6 lakh crore, an increase of Rs 7.2 lakh crore in a single day.

The rally was attributed to a mix of technical and sector-specific factors. Gains in Reliance Industries, Infosys, TCS, ICICI Bank, ITC, and L&T provided a significant boost to indices. Adani Group stocks rebounded sharply, recovering up to 14% from recent lows. Buying in IT stocks, driven by favourable global trends, added to the optimism. Investors were optimistic ahead of the Maharashtra and Jharkhand election outcomes, adding a speculative edge to the rally.

Market analysts believe Friday's rally was primarily a technical recovery following the previous session's decline, which stemmed from concerns over the Adani Group. Experts highlighted the absence of new, positive triggers and warned that sustained momentum would require fresh catalysts.