On July 12, 2024, the Indian stock market witnessed a surge in bullish momentum, with TCS playing a significant role in driving the positive trend. The equity benchmark indices Sensex and Nifty hit fresh record high levels amid heavy buying in IT stocks following TCS’s announcement of its June quarter earnings. The BSE Sensex soared 996.17 points to reach an all-time high of 80,893.51, while the NSE Nifty jumped 276.25 points to a new lifetime peak of 24,592.20.
Tata Consultancy Services (TCS) saw a substantial increase of nearly 6 percent after reporting a growth of 8.7 percent in its net profit for the June quarter, amounting to Rs 12,040 crore. This positive performance by TCS had a ripple effect on other IT stocks like Infosys, Tech Mahindra, and HCL Technologies, which also witnessed gains. V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services, highlighted that the better-than-expected numbers from TCS, along with positive management commentary, had a favorable impact on most IT stocks.
In the midst of this market rally, other major gainers included companies like Axis Bank and Bajaj Finance, contributing to the overall bullish sentiment. However, Maruti, Kotak Mahindra Bank, Asian Paints, and ITC were among the laggards in the market. The positive cues from the domestic market were complemented by the performance of Asian markets, with Shanghai and Hong Kong trading higher, while Seoul and Tokyo experienced a dip.
Despite the global uncertainty, with US markets mostly closing lower on the previous day, the Indian stock market persevered with its upward trajectory. Additionally, the rise in the global oil benchmark Brent crude to USD 85.90 a barrel indicated a favorable outlook for the energy sector. However, Foreign Institutional Investors (FIIs) offloaded equities worth ₹1,137.01 crore, showcasing a mixed sentiment among investors.
The resilience of the Indian stock market on July 12, driven by strong performances from key companies like TCS, reflects the confidence of investors in the economy’s growth prospects. The positive market sentiments, backed by robust corporate earnings and strategic investments, bode well for the continued momentum in the Indian stock market in the days to come.
