In a significant milestone for the Indian stock market, the BSE’s Sensex surpassed the 80,000 mark during intra-day trades on Wednesday, July 3. The milestone comes after the index gained the last 10,000 points in nearly seven months or 139 trading sessions, after it first reached the 70,000 points mark on December 11, 2023. This is also the fastest 10,000 rally for the BSE Sensex.
The broader Nifty 50 index also experienced a significant rise, adding 162.65 points or 0.67 per cent to close at an all-time high of 24,286.5.
The Sensex finally closed at 79,986.8 on Wednesday, up by 545.35 points or 0.69 per cent, following some correction from the peak of 80,074 during the session. The upward momentum continued on Thursday too with the index opening well above the 80,000 mark at around 80,300.
The surge in domestic indices was largely propelled by large-cap stocks, particularly in the financial sector. HDFC Bank shares saw a notable rise, driven by an expected increase in its weight in the MSCI Emerging Markets Index following the MSCI’s August review.
Additionally, gains in Reliance Industries shares and other banking stocks contributed to the overall positive sentiment in the market.
The Sensex, which was launched in January 1986, has a history of reaching significant milestones. It crossed the 10,000 level during intraday deals on February 6, 2006, reached 20,000 on November 5, 2007, and achieved the 40,000 mark on July 5, 2019. The journey from 40,000 to 80,000 took just five years, highlighting the growth of the Indian stock market.
The recent rally can be attributed to several factors, including expectations of continuity in government policies, a higher economic growth forecast, and robust domestic fund buying. These elements have combined to create a bullish fervour among investors, pushing the indices to new heights.
Supportive global data and the progress of the monsoon in the country have boosted investor confidence, leading to the Sensex opening more than 300 points higher on Thursday.
As the market continues to respond to these positive signals, investors are closely watching for further developments that could sustain this upward momentum.
Amid the ongoing surge in Indian equity markets, financial experts are advising mutual fund investors to exercise caution and avoid making substantial investments in the riskier segments of the market.
