Indian equities kicked off the new year strong, with the Sensex and Nifty both hitting fresh record levels on January 2.
Market Performance on Jan 2
The Sensex jumped 573 points (0.67%) to finish at 85,762.01. The Nifty 50 touched an intraday high of 26,340 and closed at a record 26,328.55, up 182 points (0.70%). Mid‑cap and small‑cap indexes also rose, gaining 0.97% and 0.79% respectively.
What to Expect Next Week
Analysts expect the upward trend to continue. Strong domestic fundamentals, steady inflows from Indian institutional investors, and healthy earnings forecasts are the main drivers. The focus will shift to the Q3 earnings season, with traders likely to add positions in major index‑weight stocks before results are announced.
Key Economic Triggers
- Final HSBC Services PMI and Composite PMI numbers.
- Fiscal year GDP growth data.
- Bank loan growth, deposit growth, and foreign‑exchange‑reserve updates.
- U.S. non‑farm payrolls and unemployment figures, which can affect global risk appetite.
Precious Metals Update
Gold rose over ₹1,000 on the MCX, closing around ₹1,36,900, while U.S. COMEX gold was near $4,385. Silver also rebounded, reaching about $71 per ounce on COMEX and ₹236,316 per kg on the MCX, driven by industrial demand and tight supply.
Rupee Movement
The Indian rupee slipped past the 90‑per‑dollar mark, ending the day at 90.20 against the U.S. dollar, pressured by weak domestic data and a stronger global dollar.
Technical Outlook
Nifty 50
The Nifty has broken out of its five‑week consolidation, staying above the 26,200 level. Immediate support sits near 26,000, with a stronger base at 25,700. If the index holds above 26,300, it could climb to the 26,500‑26,700 range and possibly test 27,000.
Bank Nifty
Bank Nifty closed above its lifetime high at 60,150.95, staying within a rising channel. Holding above 59,800‑60,000 suggests upside potential toward 60,500‑61,000, and maybe 62,000 if credit growth stays strong.
Sensex
Sensex settled at 85,762.01, just shy of its all‑time high. Buying interest remains strong in the 85,200‑85,500 support zone. A clear breakout above 86,000 could push the index toward 86,500‑87,500 in the weeks ahead.
Disclaimer
Remember, this is just an overview, not a prediction. Do your own research or consult a financial adviser before making any investment decisions.