The Indian equity market closed with gains of around 1 per cent on Monday, rebounding from the previous session’s correction as foreign institutional investors (FIIs) returned to buying. Positive Q1 earnings from PSU banks and strong participation in the broader market further boosted sentiment.
The upbeat mood was also supported by robust mutual fund inflow data released by the Association of Mutual Funds in India (AMFI), which lifted market momentum in the final trading hours.
The Sensex settled at 80,604.08, up 746.29 points or 0.93 per cent. It opened flat at 79,885.36 against Friday’s close of 79,857.79, before witnessing broad-based buying. The index hit an intraday high of 80,636.05. The Nifty closed at 24,585.05, up 221.75 points or 0.91 per cent.
“The market saw a relief rally after hitting a three-month low. Positive global cues and the gradual return of FIIs supported the sentiment,” said Vinod Nair, Head of Research, Geojit Financial Services.
PSU banks were in focus amid strong Q1 results, while momentum was visible across most sectors. Investors are also eyeing the upcoming US–Russia Summit this week, which could ease geopolitical tensions, Nair added.
Top gainers included Tata Motors, Adani Ports, Trent, SBI, L&T, Mahindra & Mahindra, Axis Bank, Sun Pharma, HDFC Bank, HCL Tech, and Kotak Bank. Bharti Airtel, BEL, and ICICI Bank ended marginally lower.
Among sectoral indices, Nifty Financial Services rose 238 points (0.91%), Nifty Bank gained 505 points (0.92%), Nifty Auto climbed 249 points (1%), and Nifty IT advanced 146 points (0.42%). The broader market also saw gains, with Nifty Next 50 up 769 points (1.17%), Nifty 100 higher by 238 points (0.96%), Nifty Midcap 100 up 476 points (0.85%), and Nifty Smallcap 100 rising 63 points (0.36%).
According to AMFI data, equity-oriented mutual funds saw net inflows of ₹42,702 crore in July, up 81 per cent from ₹23,587 crore in June. The mutual fund industry’s AUM climbed to ₹75.36 lakh crore in July from ₹74.40 lakh crore in June and ₹72.19 lakh crore in May.
Gold prices weakened on news of US President Donald Trump’s scheduled meeting with Russian President Vladimir Putin on August 15 to discuss the Russia–Ukraine war, raising hopes of a resolution and triggering profit-booking.
On Comex, gold fell from $3,400 to $3,355, while on MCX it declined by ₹1,200 to ₹1,00,550. “This week, US CPI and Core CPI data will be in focus. Gold prices are expected to trade in the ₹99,500–₹1,02,000 range,” said Jateen Trivedi of LKP Securities.
-IANS