What is driving today's markets as the Sensex soars 2000 points and the Nifty reaches 23,900?

On Friday, November 22, the domestic benchmark indices, the Sensex and Nifty, saw a slight increase driven by index heavyweights. The BSE Sensex reached an intraday high of 79,218.19 after surging 2,062 points, or 2.6%. In contrast, the NSE Nifty was up 606 points, or 2.5%, above the 23,900 mark.

Purchasing Adani stock improves sentiment
After Thursday's steep decline, Deepak Jasani, Senior Vice President and Head of Retail Research at HDFC Securities, thinks that rises in Adani Group equities contributed to the market's rebound. Following Gautam Adani's indictment in New York for his involvement in a purported multibillion-dollar bribery and fraud conspiracy, Adani shares saw steep declines yesterday.

Adani Enterprises' stock was up more than 3% at 1:40 PM, followed by Adani Green Energy, Adani Ports, Ambuja Cements, and Adani Power, all of which were up more than 5%.

 
The market rise was spearheaded by BSE Sensex heavyweights ICICI Bank, Reliance Industries, SBI, and Infosys. Together, these four index heavyweights accounted for around 40% of the BSE benchmark's advances.

SBI, one of the top movers, rose by almost 5% to Rs 818. The following companies saw increases of more than 2% in their trading: JSW Steel, UltraTech Cement, Bajaj Finance, Adani Ports, Titan, ITC, Larsen & Toubro, HCL Technologies, TCS, and Bharti Airtel.

Technical rebound
The market is looking for its bottom, according to Gaurang Shah, head investment strategist at Geojit.

"The market is in an oversold zone and is trying to find its bottom of near 23,300-23,000 levels," Shah stated.

"Some value buying is being seen in the markets today, but we are not of correction" , he stated.

 
Good global cues
Global markets, meantime, also increased confidence. The Dow Jones was up 1.06 percent, the S&P 500 was up 0.53%, and the Nasdaq Composite was flat with a positive bias as the US markets ended Thursday's trading day higher.

With Japan's Nikkei up 0.68 percent, Asian markets were also generally trading in a bullish manner. But China's indices fell, with Shanghai and the CSI 300 both down more than 3%. The Hang Seng in Hong Kong also fell 2.14 percent. Aside from that, the FTSE in the UK increased by 0.79 percent.

Furthermore, Jasani thinks that since Ukraine hit Russia with missiles made in the United States, the bad effects of the conflict between Russia and Ukraine are finished.

"The negative impact of the Russia-Ukraine war is over after Ukrainian forces carried out their first strike with US-made missiles and the market believes that the situation will not worsen from here," Jasani stated.