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Tag: Sensex

  • Sensex, Nifty: 3 Reasons Why the Stock Market is Rising Today

    Sensex, Nifty: 3 Reasons Why the Stock Market is Rising Today

    Sensex and Nifty Show Gains

    Sensex and Nifty saw an uptrend today as GDP growth stood at 6.2%, aligning with expectations. February auto sales data was strong, providing market support. Additionally, a decline in Foreign Institutional Investors (FIIs) selling out and a drop in US bond yields strengthened the market.

    Sensex and Nifty Performance

    • Sensex reached 73,593.26, gaining 395.16 points (0.54%) at closing.
    • Nifty traded at 22,243.85, rising by 119.15 points (0.54%).
    • Most Asian markets were also trading higher, with Japan’s Nikkei leading with a 1.4% rise.
    Sensex, Nifty
     Nifty

    3 Main Reasons Behind the Stock Market Rally

    1. GDP Growth in Line with Expectations

    • India’s GDP grew by 6.2% in the December quarter, up from 5.6% in the September quarter.
    • HSBC reported that previous GDP figures were revised upward, indicating strong economic growth.

    2. Strong Performance in the Automobile Sector

    • February auto sales data exceeded expectations.
    • Companies like Mahindra & Mahindra (M&M) and Eicher Motors performed well, boosting investor confidence.

    3. Decline in Foreign Institutional Investors (FIIs) Selling

    • High stock valuations and attractive US bond yields led to recent FII selling in the Indian market.
    • However, the US 10-year bond yield has now fallen to 4.21%, which may reduce FII selling.
    FIIs
    FIIs

    Long-Term Investment Opportunity in Sensex

    V.K. Vijayakumar, Chief Investment Strategist at Geojit Financial Services, stated,
    “The recent correction in Sensex presents a great opportunity for long-term investors to buy high-quality stocks.”

    Also Read This: Stock market: meaning, basics and guide of stock market. Best investment strategies and market update.

    He also mentioned that while predicting the market bottom is difficult, now is a good time for long-term investors to start investing without worrying about short-term volatility.

    • Sensex and Nifty surged due to GDP growth, strong auto sales, and reduced FII selling.
    • Current market corrections offer a golden opportunity for investors to buy high-quality stocks.
  • Big ups and downs in the Stock Market: After the fall, Sensex made a tremendous comeback of 550 points

    Big ups and downs in the Stock Market: After the fall, Sensex made a tremendous comeback of 550 points

    The stock market (Stock Market) took a dramatic turn on the first trading day of the week, Monday. BSE Sensex and NSE Nifty started in the red, with Sensex falling by 400 points as the market opened. However, after a brief period of decline, the stock market suddenly reversed, transforming the losses into gains.

    On one hand, the Sensex made a powerful comeback, leaping over 550 points to cross the 80,000 mark once again, while the Nifty also marked a remarkable return.

    Stock Market: Rapid Surge in Sensex-Nifty

    When the stock market opened on Monday, the Sensex started with a decline, dropping 400 points within minutes. However, by the time of this report, the 30-share Bombay Stock Exchange (BSE) Sensex was trading up by 558 points, reaching the level of 80,043.71. Meanwhile, the Nifty index of the National Stock Exchange (NSE) surged 170 points within the first hour and a half of trading, hitting 24,317.

    Stocks Supporting the Market

    Let’s look at the stocks that helped boost the market. In the BSE large-cap category, PowerGrid’s shares rose by 4.41%, Tata Motors by 2.83%, and TCS by 2%, all trading at a gain. Additionally, Tech Mahindra (1.63%), HDFC Bank shares (1.51%), and ICICI Bank (1.10%) also showed positive momentum.

    Strong Rally in Banking Stocks

    Banking stocks also played a significant role in supporting the market. Among other stocks in this category, HCL Tech, Infty, Maruti, NTPC, ITC, Bharti Airtel, and Ultratech Cement were all trading in the green. HDFC Bank and ICICI Bank, along with SBI, Axis Bank, Kotak Bank, and IndusInd Bank, saw approximately a 1% increase in share prices.

    Stock Market Banking
    Stock Market Banking

    Mid-cap and Small-cap Stocks on the Rise

    In the mid-cap category, Endurance shares surged by 6.73%, Biocon by 6.25%, Prestige by 3.66%, and MRF by 2.76%. Among small-cap companies, Pixtrans shares rose by 20%, VHL by 15.48%, ITI by 9.63%, and IFCI by 7%, all showing a strong upward trend.

    Sensex Plunged Last Week

    Looking back at last week’s market performance, the BSE benchmark index Sensex (Sensex) fell by 4,813 points within just five trading days. From a high of 84,200 on September 30, the index fell to 79,486 on November 8. NSE Nifty also struggled to recover, closing at 24,248.20 last Friday with a notable loss.

    Also Read This: Stock market crash on 4 November 2024: what happened?