MOHAMMAD ZIYAUDDIN
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Mumbai: Investors in the Indian stock market witnessed a massive wealth surge of ₹8.67 lakh crore over the past two days, fueled by a strong global market trend and optimism over economic policy measures. The BSE Sensex soared 1,472 points (1.99%) during this period, with a significant rally across midcap and smallcap stocks.
Market Rally: Key Highlights
Sensex Performance:
- Tuesday: The BSE Sensex jumped 1,131.31 points (1.53%), closing at 75,301.26 after reaching an intraday high of 75,385.76.
- Two-Day Rally: The benchmark index gained a total of 1,472.35 points (1.99%), reflecting strong investor confidence.
Investor Wealth Growth:
- Market capitalization of BSE-listed firms surged to ₹399.85 lakh crore (USD 4.61 trillion).
- On Tuesday alone, investors gained ₹7 lakh crore, riding on broad-based buying across sectors.
Sectoral Performance:
All BSE sectoral indices ended in the green, with notable gains in:
Realty (+2.95%)
Industrials (+2.79%)
Consumer Discretionary (+2.76%)
Capital Goods (+2.44%)
Auto (+2.42%)
Power (+2.27%)
Financial Services (+2.09%)
Why Are Markets Rallying?
Analysts attribute the market surge to:
Positive global cues, including optimism over a possible Russia-Ukraine ceasefire deal and China’s stimulus measures.
Bargain hunting at lower levels following recent market corrections.
Expectations of policy easing from the Reserve Bank of India (RBI).
Investors eyeing upcoming US Federal Reserve (Fed) and Bank of Japan (BOJ) meetings for future monetary policy direction.
Satish Chandra Aluri, Analyst at Lemonn Markets Desk, said:
"Benchmark indices extended gains for the second consecutive day on Tuesday, driven by a broad-based recovery. Global optimism, coupled with expectations of monetary easing from the RBI, supported market sentiment."
Top Gainers & Losers
Biggest Gainers (Sensex Pack):
Zomato (+7%)
ICICI Bank
Mahindra & Mahindra
Tata Motors
Larsen & Toubro
Asian Paints
Titan
Kotak Mahindra Bank
State Bank of India
Top Laggards:
Bajaj Finserv
Bharti Airtel
Tech Mahindra
Reliance Industries
Global Market Trends Supporting the Rally
Asian markets (Seoul, Tokyo, Shanghai, Hong Kong) ended in the green.
European stock markets were trading with gains.
US markets also closed higher on Monday, adding to investor confidence.
What’s Next for the Market?
Key Upcoming Events:
- The market will closely watch the outcomes of the upcoming US Federal Reserve (Fed) and Bank of Japan (BOJ) meetings.
- The bullish trend could continue if global conditions remain favorable and inflation concerns ease further.
Bajaj Broking Research noted:
"Markets started strong and gained further as the session progressed. The rally was firmly under bullish control, and traders will closely track the Fed and BOJ meetings for further direction."
With global optimism, domestic economic resilience, and sectoral momentum, the Sensex and Nifty could continue their upward trend in the coming sessions.
