The domestic stock market saw a robust rally on Friday, with benchmark indices surging during intraday trade. The recovery was driven by gains in Adani Group shares and positive sentiment across key sectors.
By 12:42 PM, the S&P BSE Sensex jumped 1,034.76 points to reach 78,190.55, while the NSE Nifty50 climbed 329.15 points to 23,679.05. The rally added approximately ₹5 lakh crore to the total market capitalization of the Bombay Stock Exchange (BSE).
Market Highlights
- Sectoral Gains: Banking, financials, IT, and energy stocks contributed significantly to the recovery. Heavyweights such as ICICI Bank, SBI, Reliance Industries, Infosys, TCS, L&T, and Bharti Airtel led the charge.
- Adani Group Stocks: Adani Group shares rebounded sharply after significant losses in the previous sessions. Ambuja Cements led the recovery with a 6% gain, followed by ACC, which rose nearly 4%. Adani Enterprises climbed 2.5%, while Adani Green Energy, Adani Ports, Adani Power, and Adani Total Gas gained between 1% and 2%. However, Adani Energy Solutions continued to face pressure, trading 3% lower.
Factors Driving Recovery
The rebound in Adani stocks followed the group’s statement dismissing bribery and fraud allegations as “baseless.” The accusations, made by the US Securities and Exchange Commission, alleged the use of bribery to advance renewable energy projects in India.
Despite the recovery, Adani Group stocks remain under scrutiny. On Thursday, Adani Enterprises hit a 52-week low with a 23% drop, while Adani Energy Solutions and Adani Green Energy plummeted 20% and 19%, respectively.
Global Developments
Adding to the group’s challenges, the Kenyan government terminated a $736 million deal with an Adani unit for power transmission lines, citing new investigative findings.
Meanwhile, concerns about governance practices and funding access across Adani Group entities persist. Rating agencies like S&P and Moody’s have revised outlooks for some group firms, reflecting heightened risks.
Friday’s rally highlights the market’s resilience as investors react positively to reassurances from the Adani Group and optimism across key sectors.
