Market Wrap: D-St ends third week in green on foreign inflows, US trade deal optimism; Sensex adds 260 pts, Nifty above 24,340

Indian benchmark indices closed higher on Friday, marking their third consecutive weekly gain, supported by optimism over a potential India-US trade deal and steady foreign inflows, as foreign portfolio investors continued their buying streak for the 11th straight session.

The benchmark BSE Sensex added 259.75 points or 0.32% to close at 80,501.99, while the broader Nifty 50 index closed at 24,346.70, higher by 12.50 points or 0.05%.

Sector Watch

The Nifty 50 and BSE Sensex rose nearly 1% earlier in the session before trimming gains. A rise in heavyweight Reliance Industries Ltd (RIL) and financial stocks offset losses in key auto names following muted monthly sales data.

Adani Ports and Special Economic Zone jumped 4%, emerging as the top gainer on the Nifty 50 after reporting better-than-expected quarterly earnings and forecasting higher growth for fiscal 2026 on the back of strong port volumes.

Nifty Auto ended 0.1% lower. Maruti Suzuki India bucked the trend, rising 1.2% after reporting a 7% year-on-year increase in April sales, with both domestic and export volumes improving.

PNB Housing Finance gained 4% following a large block deal. Media reports indicated Carlyle Group was looking to offload its 10.44% stake in the company.

JSW Steel plunged 6% after the Supreme Court annulled its Rs 19,700 crore acquisition of Bhushan Power & Steel, deeming the 2021 deal “illegal” and ordering the company’s liquidation.

For the week, the Nifty rose 1.3% and the Sensex advanced 1.6%, notching a third straight weekly gain.

Reliance Industries surged 9.4% over the week—its best weekly performance in nearly five years—after reporting strong earnings on April 25.

Investor sentiment has been boosted by signs of progress on an India-U.S. trade deal, with President Donald Trump suggesting potential agreements with India, South Korea, and Japan.

Foreign portfolio investors remained active buyers, purchasing Indian equities for 11 straight sessions through Wednesday—the longest such streak in two years—after turning net buyers in April following three months of outflows.

Expert View

In the last week, the benchmark indices continued their positive momentum, said Amol Athawale, VP- Technical Research, Kotak Securities, adding that "during the week, the market comfortably traded above the 200-day SMA (Simple Moving Average). Technically, it has formed a bullish candle on weekly charts and is also holding an uptrend continuation formation on daily charts, which is largely positive."

The Nifty has witnessed a bout of volatility during the week, slipping sharply after facing rejection around the 24,550 level, said Rupak De, Senior Technical Analyst at LKP Securities, adding that on the daily chart, a long upper-wick candle suggests selling pressure at higher levels.

"Going forward, support is placed at 24,250; a fall below this level might trigger a correction toward 24,000. Additionally, the index may remain range-bound within the 24,000–24,550 band. Only a decisive breakout above 24,550 may lead to a decent rally in the index," said De.

Global Markets

Global stocks rallied on Friday as signs of potential U.S.-China trade talks lifted sentiment, easing concerns sparked by weak earnings from tech giants Apple and Amazon.

Beijing said the U.S. had repeatedly shown willingness to negotiate on tariffs and that its door remained open for dialogue—remarks that helped calm markets rattled by prolonged trade tensions.

The pan-European STOXX 600 rose 0.9% as of 1013 GMT, rebounding after two straight monthly declines. Other regional indexes also traded higher.

MSCI’s Asia-Pacific index outside Japan touched its highest since March 20, erasing losses since U.S. President Donald Trump launched a tariff offensive in early April. Japan’s Nikkei gained over 1%, while Hong Kong’s Hang Seng climbed 1.7%. Mainland China was shut for a holiday.

Meanwhile, data this week showed the U.S. economy contracted for the first time in three years in Q1, and China’s factory activity fell at its fastest pace in 16 months in April.

In commodities, gold prices climbed to $3,261 per ounce.

FII/DII Tracker

Foreign institutional investors (FIIs) extended their buying streak for an 11th straight session, though with a modest net purchase of Rs 50 crore. Domestic institutional investors (DIIs) were more aggressive, net buying equities worth Rs 1,792 crore.

Crude Impact

Oil prices slipped on Friday as traders booked profits ahead of an upcoming OPEC+ meeting and remained cautious over prospects of a U.S.-China trade de-escalation.

Brent crude fell 42 cents, or 0.7%, to $61.71 a barrel by 0922 GMT, while U.S. West Texas Intermediate (WTI) dropped 46 cents, or 0.8%, to $58.78.

Currency Watch

The Indian rupee briefly surged to a near six-month high of 83.78 against the U.S. dollar on Friday, buoyed by strong portfolio inflows and short-covering in the currency, before retreating, with the rupee eventually settling at 84.58, down 0.1% on the day.

Despite the pullback, the currency gained 1% for the week, supported by sustained foreign inflows into equities and optimism over a potential U.S.-India trade agreement.

Meanwhile, the dollar index, which measures the greenback against a basket of six major currencies, slipped 0.39% to 99.85.

Market Cap

The market capitalization of all listed companies on the BSE decreased by Rs 1.31 lakh crore to Rs 422.81 lakh crore.