Markets end higher on sustained foreign fund inflows, drop in crude oil prices

Mumbai: Equity benchmark indices Sensex and Nifty closed higher on Monday, supported by sustained foreign fund inflows and a sharp correction in global crude oil prices.

The 30-share BSE benchmark climbed 294.85 points or 0.37 per cent to settle at 80,796.84, extending its previous day's rally. During the day, it jumped 547.04 points or 0.67 per cent to 81,049.03.

The NSE Nifty rose 114.45 points or 0.47 per cent to 24,461.15.

From the Sensex firms, Adani Ports jumped 6.29 per cent amid reports that Gautam Adani's representatives met with US administration officials to seek the dismissal of criminal charges in a bribery probe.

All other listed Adani group stocks, including Adani Enterprises, Adani Ports, Adani Power and Adani Green Energy, ended with a sharp rally.

From the 30-share pack, Bajaj Finserv, Mahindra & Mahindra, Eternal, Power Grid, ITC, Tata Motors, Asian Paints and Hindustan Unilever were among the gainers.

Among the laggards, Kotak Mahindra Bank tanked 4.57 per cent after the firm reported a 7.57 per cent decline in consolidated net profit to Rs 4,933 crore for the March quarter of FY25, primarily due to elevated stress in the microlending book.

State Bank of India, Axis Bank, Titan and IndusInd Bank were among the other losers.

State Bank of India dipped over 1 per cent after it reported an 8.34 per cent decline in consolidated net profit to Rs 19,600 crore for the January-March quarter compared to Rs 21,384 crore a year ago, impacted by a decline in net interest margins.

Foreign Institutional Investors (FIIs) bought equities worth Rs 2,769.81 crore on Friday, according to exchange data.

Foreign investors injected Rs 4,223 crore into the country's equity market in April, as they turned net buyers for the first time in three months amid a blend of favourable global cues and robust domestic fundamentals.

The inflow of foreign capital came last month following a back-to-back net outflow of Rs 3,973 crore in March, Rs 34,574 crore in February, and Rs 78,027 crore in January.

"The market has sustained its positive momentum, though the level of optimism has decreased. Continued foreign inflows and record GST collections in April indicate resilience in economic activity, fostering mild hopefulness. A weak dollar and a decline in oil prices have further bolstered FII sentiment.

"However, the market's momentum is moderating, with action shifting from broad-based movements to stock and sector-specific trends based on results," Vinod Nair, Head of Research, Geojit Investments Limited, said.

Markets in South Korea, Japan, China and Hong Kong were closed due to holidays.

European markets were trading on a mixed note.

US markets ended significantly higher on Friday.

Global oil benchmark Brent crude dropped 1.45 per cent to $60.40 a barrel.

The 30-share BSE benchmark gauge settled 259.75 points, or 0.32 per cent, higher at 80,501.99 on Friday. The Nifty eked out a marginal gain of 12.50 points, or 0.05 per cent, to settle at 24,346.70.