Global IT shares rallied on Friday, buoyed by strong earnings and an upbeat outlook from Nvidia. The Nifty IT Index emerged as the top-performing sectoral index, surging 3.51%, marking its best single-day gain in two months. The market capitalisation of the top 10 IT companies soared by Rs 85,026 crore. Among major IT stocks, TCS jumped 4.16%, while Infosys gained 2.99%. HCL Technologies and Wipro advanced 2.66% and 2.58%, respectively.
“IT sector outperformed after Nvidia’s strong results and upbeat guidance reinforced optimism around sustained AI-related investments, which could benefit firms involved in enterprise AI deployment and workflow integration,” said Vinod Nair, Head of Research, Geojit Investments.
The Sensex gained 330.92 points, or 0.43%, to close at 77,624.51, while the Nifty rose 84.80 points, or 0.35%, to end the session at 24,175.65. Market breadth was positive, with 2,385 gainers against 1,932 losers on the BSE. The broader BSE Midcap and BSE Smallcap indices gained 0.23% and 0.44%, respectively.
“Markets settled in positive territory today after yesterday’s extreme volatility, with strong gains in IT stocks, coupled with an uptick in banking shares, supporting the upward bias. The overnight surge in the tech-heavy Nasdaq provided a major impetus to local IT shares, which had remained subdued in recent sessions,” said Ankur Punj, Managing Director, Equirus Wealth.
Foreign portfolio investors sold shares worth Rs 5,039.80 crore, while domestic institutional investors bought shares worth Rs 5,183.93 crore, according to provisional data released by the exchanges.
Besides IT, metals, healthcare and pharma were among the top sectoral gainers, while consumer durables and FMCG were the top losers.
Investors’ wealth increased by Rs 1.28 lakh crore, with the BSE’s total market capitalisation rising to Rs 492.82 lakh crore.
On a weekly basis, the Sensex and Nifty declined 0.36% and 0.31%, respectively, extending their losing streak to three weeks, the longest in five months.
The broader BSE Midcap and BSE Smallcap indices, however, gained 0.50% and 0.59%, respectively, during the week.
Looking ahead, investors will closely track the Fed Chair’s commentary, US jobs data, business sentiment readings and the domestic GDP print for further direction on growth and the global interest-rate trajectory, Nair said.