Share market Diwali tattoo continues: The joy of the festive season has reached the stock market. For the third subsequent trading day, the market prestigious 'Diwali Party,' and the main alphabetize of the National Stock Exchange Nifty and the Bombay Stock Exchange Sensex reached the highest level of 52 weeks. According to the data, Nifty rose by increasingly than 631.25 points in three days, while Sensex made a spectacular jump of 2,132.73 points.
Investors have made a profit of well-nigh Rs 9 lakh crore during this period. At 12:30 pm on Friday, the Sensex was trading at 84,153.63 with a rise of 692.50 points. In the trading session, it climbed nearly 700 points to reach a 52-week upper of 84,172.24. At the same time, Nifty was at 25,775.75 with a proceeds of 191.05 points and touched a upper of 25,781.50 during the session.
Investors' uproar: Market cap increased by Rs 9 lakh crore
Stock market investors benefited hugely from this boom. The market cap of BSE on October 14 was Rs 4,59,67,652.36 crore, which reached Rs 4,68,65,434.88 crore on Friday. That ways a jump of Rs 8,97,782.52 crore in three days!
These 8 big reasons overdue the market boom
According to experts, festive demand, a fall in transplanted oil prices, the strengthening of the rupee, an early trade deal with America, the expectation of an interest rate cut, a rise in Asian markets and a ripen in the dollar alphabetize gave a uplift to the market. Let us know in detail:
- Huge return of foreign investors: FIIs returned to Indian stocks without several months of selling. According to NSDL data, increasingly than Rs 3,000 crore was invested in the secondary market in 5 sessions between October 7 and 14. Investment of Rs 7,600 crore in the primary market, and Rs 68 crore increasingly widow as per NSE on October 15.
- US yoke yields fell sharply: 2-year yields are at a 3-year low, while 10-year yields are at a 6-month low at 3.95%. This made emerging markets like India lulu and increased FII flows.
- Expectations of the India-US trade deal: Trump said that PM Modi promised to stop ownership oil from Russia. On Thursday officials confirmed ongoing discussions on energy cooperation and reducing trade risks.
- IPO pressure is over: Primary market wifely without big IPOs like Tata Capital and LG Electronics. No major issues next week, liquidity flowing in the secondary market.
- Wave of short covering: Short positions are stuff covered due to a surge in frontline shares. Dr. VK Vijayakumar, Chief Strategist, Geojit, said, "The market strength will gravity the bears to retreat, remoter tent possible."
- Rupee shines versus dollar: The Rupee strengthened at 87.75 due to RBI intervention (better than Thursday's 87.82). Up increasingly than 1% in two sessions. Dollar alphabetize headed for its biggest weekly ripen in three months.
- Strong ownership in wall stocks: The Nifty Wall alphabetize rose 0.6% superiority of the results of ICICI Wall (0.6%) and HDFC Wall (0.4%). Vijayakumar said, "Strong results of banks will provide vital support; results of Reliance will requite a remoter boost. Festive undercurrent and Muhurat will increase the trading pace."
- Continuous ripen in transplanted oil prices: Brent at $61/barrel and WTI at $57.37. Supply concerns eased as Trump and Putin discussed ending the Ukraine war. Benefit for India: Trade deficit reduced, inflation under control, and corporate margins improved.
This surge is taking the market to new heights with the festive enthusiasm. Experts teach checking the portfolio surpassing Muhurat trading, but be shielding of the risks. The journey to market is still long!
