With a massive 7 per cent jump in its stock, Mukesh Ambani-led Reliance Industries led a massive rally on Monday morning in the Indian stock markets. Tata Steel added to the overall support, up 5 per cent. Together, with Maruti Suzuki, NTPC, and Asian Paints, they pushed the 30-pack BSE benchmark up by 1,033 points at its morning high.
The NSE Nifty also mirrored the rise, gaining as much as 277 points. The major gainers on the 50-stock index were Reliance, Max Healthcare, Tata Steel, Jio Financial, and Coal India.
Out of them, Tata Steel is set to post its quarterly earnings this Saturday.
Market leader Reliance also saw latest research announced this morning by both GS and Nomura, maintaining their BUY rating.
Nomura noted that the conglomerate’s consolidated EBITDA rose 19 per cent quarter-on-quarter, beating estimates by 9 per cent, while GS, in its note, said that new energy capacity additions remained on track.
Research, however, noted that Q3 margins might be impacted by higher VLCC freight costs despite discounted heavy crude processing.
Foreign funds returning to the Indian market, along with upward momentum in other key Asian equity markets, also added to the optimism.
Brent crude prices were trading 3 per cent lower while the US 10-year bond yield also eased. Last week’s bloodbath on the US markets against AI stocks also factored in, since investors and analysts view India as the alternative AI solutions market.
