Nifty50 posts another record close, achieves longest weekly rising streak of 2024

Stock market news: Nifty 50 index achieved another record closing high on Friday, marking its longest weekly rising streak for the year. This rise was driven by gains in energy stocks, which offset a decline in the top private lender HDFC Bank.

The NSE Nifty 50 increased by 0.09 per cent to close at 24,323.85, while the S&P BSE Sensex ended 0.07 per cent lower at 79,996.6 points.

Throughout the week, the Nifty 50 reached record closing highs in four out of five sessions, and the broader Sensex did so in three sessions. Both benchmarks, which have been on a five-week gaining streak, increased by 1.2 per cent this week. However, they showed signs of exhaustion by slipping earlier on Friday.

"The lackluster session for the benchmarks is an initial sign of exhaustion at near record high levels," said Sameet Chavan, head of research at Angel One.

The IT index recorded a weekly gain of 4.3 per cent, driven by soft U.S. economic data, which bolstered expectations of a rate cut in September. Leading the gains in the Nifty 50 this week were IT giants Infosys, Wipro, HCLTech, and Tata Consultancy Services, with increases ranging from 2.7 per cent to 5.2 per cent.

IT companies, which derive a significant portion of their revenue from the U.S., remain in focus ahead of the U.S. non-farm payrolls data due later on Friday and earnings reports starting with Tata Consultancy Services on July 11.

Narendra Solanki, head of fundamental research of investment services at Anand Rathi, predicted, "The Nifty 50 may see sideways movement for the next two-to-three sessions, before earnings take center stage."

HDFC Bank, the most heavily weighted stock in the benchmarks, fell by 4.6 per cent on Friday and 2.1 per cent for the week, following its announcement on Thursday that its gross advances declined by 0.8 per cent sequentially in the June quarter, while deposits remained nearly flat.

Reliance Industries surged over 2 per cent to a record high after Nomura listed it as one of the seven global stocks likely to benefit from the energy transition.

Additionally, the broader small-cap and mid-cap indices each rose by about 0.8 per cent on Friday, reflecting a broader market optimism.

(With Reuters inputs.)