The S&P BSE Sensex was up 483.61 points to 59,392.96 at around 9:29 am, while the NSE Nifty 50 was up 149.20 points at 17,471.10. The positive sentiments spread to the broader markets and volatility dipped sharply as a result.
By Koustav DasBenchmark stock market indices opened higher on Friday as sentiments were lifted after an US firm’s nearly $2 billion investment boosted Adani Group stocks. The investment also turned foreign institutional investors into net buyers on Thursday after a long selling streak.
The S&P BSE Sensex was up 483.61 points to 59,392.96 at around 9:29 am, while the NSE Nifty 50 was up 149.20 points at 17,471.10. The positive sentiments spread to the broader markets and volatility dipped sharply as a result.
All the sectoral indices were trading in positive territory, with Nifty Metal, Nifty Oil and Gas and Nifty PSU Bank leading from the front.
Adani Enterprises was the top gainer on the Nifty 50 index, rising over 8 per cent in early trade. In just a few days, the stock has seen a sharp turnaround, with the market value rising to nearly Rs 2 lakh crore.
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Most other Adani Group stocks had hit their upper circuits in early trade, and they too have recovered significant market value over the past three trading sessions after being battered for a month.
The rally in Adani Group stocks started earlier this week as the group held a roadshow in Hong Kong and Singapore, where it presented investors with a plan to repay debts.
The rally has gained further momentum today after US investment firm GQG Partners bought shares worth $1.87 billion in four Adani Group companies. It may be noted that this is the first major investment in the port-to-power conglomerate since US short seller Hindenburg Research’s report led to significant market loss for the group.
The investment is likely to boost investor sentiment and help boost shares of the group further.
GQG’s investment came at a particularly important time, not just for the Adani Group but for the entire domestic stock market. This is because the investment helped foreign institutional investors turn net buyers on Thursday after a prolonged selling streak.
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