Stock markets rebound after Thursday’s rout; analysts warn of ‘sell-on-rally’ risk
IT stocks lead advance; TCS rises 4.25%
On Friday, stock markets saw a rebound following a steep sell-off on Thursday. The Sensex opened at 72,080.09, up 0.68 percent, while the Nifty 50 opened at 22,314.95, gaining 0.76 percent. The recovery came after the Nifty fell 371.25 points, or 1.64 percent, and the Sensex dropped 1,046 points, or 1.4 percent, on Thursday. Bank Nifty and the Metal index also suffered losses on Thursday.
IT stocks, however, led Friday's advance, with TCS rising 4.25 percent, Infosys adding 2.45 percent, and HCL Technologies gaining 1.91 percent. The rupee remained under pressure near ₹96.78 per US dollar, while foreign portfolio investors sold equities worth ₹12,943 crore on Thursday. The Trump administration's suspension of TCS, Infosys, Wipro, HCL Technologies, Cognizant, and Capgemini from filing new PERM employment-based green-card applications raised fresh risk for IT stocks.
Analysts caution that the market structure is now a "sell on rally" due to persistent macro headwinds like high crude prices, high US bond yields, and the RBI's 25-basis-point repo rate hike.
Written by urgent.news from Hindu BusinessLine's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
