In addition to continued domestic buying, overseas investors have also returned in May, Contributing to the sharp recover in nifty 50 heavyweights from their april lows. Global Factors Such as Easing Trade Tensions, Progress in US Trade Negotiations with Key Partners, and Reduced FEARS of a Global Economic Fallout Have Supported
On the domestic front, the long-awaited India-muk free trade agrement (FTA), Strongeer-Tha-Expected Q4 GDP Growth, Early Monsoon, Expectations of an India- An India-Shush Deal, and IMPROVEDEDETY Conditions in the Financial System Have All Aided The Robust Recovery in the Indian Stock Market.
Although Valuations Still appear stretched across sector and stocks, expectations of earnings recovery in the current fiscal Year Have Encouched Domestic Investors to Continue He Buying Spreeing.
18 stocks LED by Tata Motors Soar Up to 37% From April 07 Lows
Against this backdrop, 18 Constituents of the nifty 50 index have rebounded more than 35% from their april 7 lows. Tata Motors LED the recoverry, surgging 36.7%, Followed by Other Tata Group Stocks, Trent, TITAN Company, and TCS, Whoch Gained 30%, 20.5%, and 13.31%, Respectatively.
| Stock name | Recovery from April 07 lows |
|---|---|
| Tata motors | 36.68% |
| Tech mahindra | 33.20% |
| Dr. Reddy’s Laboratories | 32.24% |
| Hero Motocorp | 30.95% |
| Trent | 29.55% |
| Reliance Industries | 29.03% |
| HCL Technologies | 28.04% |
| Mahindra & Mahindra | 26.49% |
| Larsen & toubro | 24.10% |
| Infosys | 22.11% |
| Bajaj auto | 21.68% |
| Titan Company | 20.49% |
| Hindalco Industries | 20.48% |
| ONGC | 19.36% |
| Tcs | 13.31% |
| Cipla | 13.17% |
| Wipro | 11.79% |
| ITC | 9.45% |
| Source: trendlyne | |
Among Auto Stocks, Hero Motocorp, Mahindra & Mahindra, and Bajaj Auto Have Risen 31%, 26.49%, and 22%, Respectively. In the pharma sector, Dr. Reddy’s Laboratories and Cipla Jumped 32.24% and 13%.
Within the tech pack, tech mahindra, HCL technologies, infosys, and wipro climbed 32.2%, 22%, 28%, 28%, 22.11%, and 12%, respectively.
Can the Nifty 50 Sustain Its Winning Momentum?
The next leg of the rally in nifty 50 stocks hinges on multiple factors, essentially as the 90-day pause on reciprocal tariffs by the US is set to end in july, and no clea Ongoing Trade Talks Between China and the Us. Additionally, Mint Had earlier reported that the us has said put forward tough terms in its trade negotiations with India.
Until Strong Growth is Visible in High-Frequency Indicators, Valuation Concerns are likely to personal. Analysts believe the market needs clear signs of revenue and earnings acceleration to break out of its current range.
“In the Near Term, The Market Will Respond to News Regarding The Trade Negotiations Between the US and China. If there is a clear age, the market will respond positive, and there is a Highe Probability of Niftyy Breaking Above 25,100 and Remaining Above This Level. Short-term rally in the market, “said Dr. VK Vijayakumar, Chief Investment Strategist, Geojit Investments Limited.
Disclaimer, The views and recommendations giving in this article are that of individual analysts. These do not represent the views of Mint. We Advise Investors to Check With Certified Experts Before Taking Any Investments Decisions.