Benchmark stock market indices ended higher on Wednesday, extending their strong run on Dalal Street for the fifth consecutive session.
The NSE Nifty 50 closed 0.42 percent higher at 19,833.15, while the S&P BSE Sensex rose 0.45 percent to 67,097.44. With this, the Sensex closed above the 67,000 mark for the first time ever.
Nifty Top Five Gainers
The top five gainers on the Nifty 50 were NTPC, Bajaj Finance, IndusInd Bank, UltraTech Cement, and Bajaj Finserv. On the other hand, the top losers were Hindalco, Hero MotoCorp, TCS, Bajaj Auto, and Maruti.An uptick in banking, financial services, and media stocks lifted the mood on Dalal Street, in addition to a late-session rally in shares of Reliance Industries Limited (RIL).
Analyst Predicts Nifty Will Reach 20,000 Level
“The Indian market reached a fresh high once more as the 20,000 level appears to be quite closer for Nifty,” stated Om Mehra, a research analyst at Choice. As 31 stocks rose and 19 fell, the market breadth remained positive.”
“We believe the Nifty will reach 20,000 by the end of the month or over a longer period of time. Overall, the sectors are performing rotationally, which has contributed to the Index’s rise from 17,000 to 19,700 levels” He added.
Factors Causing These Jumps
This current rally can be attributed to two main driving factors: global trends and domestic factors. It’s important to recognize that the ongoing stock market rally is not limited to India but is part of a global phenomenon.
The Indian economy finds itself in a favorable position with impressive GDP growth, a declining current account deficit (CAD), a stable currency, and promising leading indicators such as rising PMI.