Sensex and Nifty Surge Amid Weak US Labor Data and Falling Crude Prices

Indian stock markets opened strong with the Sensex up over 500 points and Nifty surpassing 24,300, driven by weak US labor data and falling crude oil prices. Investors are optimistic about a more accommodative US Federal Reserve policy. IT, metal, and telecom sectors, along with several prominent companies, led the gains.

On Friday, Indian stock markets showcased a robust start with significant gains. The benchmark Sensex climbed over 500 points, while the Nifty crossed the 24,300 mark. This upward movement was driven by weaker-than-expected US labor market data, bolstering the belief in a more accommodative policy stance by the US Federal Reserve. Additionally, falling crude oil prices played a role in buoying investor sentiment.

The Sensex commenced trading at 78,152.34, up from the previous close of 77,502.12. The Nifty opened at 24,375.65 compared to Thursday's close of 24,175.70. As of the report's filing, the Nifty was trading at 24,307.95, showing an increase of 132.25 points or 0.55 percent, while the Sensex was at 77,862.28, rising 360.16 points or 0.46 percent.

Global cues supported the market as well, with US labor data revealing only 57,000 jobs added last month—well below the predicted 100,000—prompting expectations of easing monetary policy. Banking expert Ajay Bagga noted that this data disrupted previously held assumptions about interest rate trajectories, boosting broader equity markets though impacting tech shares. Meanwhile, easing crude prices at around USD 71 per barrel favored India, a leading crude importer, sustaining positive market dynamics.