Sensex soars after 7 days; Infy to IndiGo get a ride

The Indian stock market experienced a significant rebound on Thursday, with the Sensex and Nifty 50 closing sharply higher, marking the end of a seven-day losing streak. Falling US bond yields, short covering, and other positive factors contributed to the improved market sentiment. The Sensex jumped over 628 points to close at around 77,538, while the Nifty 50 gained approximately 154 points, ending the day at 24,232.

Broader market indices, such as Nifty Midcap 100 and Nifty Smallcap 100, also showed gains of up to 0.7%. Notable advances included Eternal, Kotak Mahindra Bank, and ITC shares, which jumped around 2% each. However, Tata Steel, IndiGo, HCL Technologies, and Titan shares closed in the red with minimal losses. The overall market breadth turned positive, with 2,108 advances against 1,405 declines, and 119 stocks remaining unchanged.

The US Treasury's decision to double buyback sizes for long-duration debt helped to decrease US bond yields, which in turn made bonds less attractive to investors and potentially boosted market trends. The Indian rupee rose 17 paise to 95.56 against the US dollar after the US dollar dropped to a three-month low following the Treasury's move to boost long-term bond buybacks.

Technical analysis indicated a cautious optimism for Nifty, with a potential breakout above the 24,300 mark needed to confirm a recovery toward the 24,450 zone.