Economy

Sensex and Nifty end in positive terrain after opening in the end red

The Indian markets managed to put behind a weak opening to record fresh highs by the end of the day. The BSE Sensex gained as much as 358 points and touched its new peak of 40,606 points. The NSE Nifty finally regained 12,000 points after a gap of five months. However, Nifty ended the day little under 12,000.

The BSE Sensex ended the day by gaining 221 points to close at 40,469 points which is its fresh closing high. On the other hand, Nifty ended by gaining 0.37% to close at 11,961 points. Both NSE Nifty and BSE Sensex witnessed a turnaround in the fortunes from their respective openings in the day. 

The rallying of the indices was majorly due to the gains recorded by the banking stocks. The NSE Nifty Bank index gained more than 1%. Kotak Bank, Axis Bank, IndusInd Bank, RBL Bank, ICICI Bank and HDFC Banks recorded gains in the range of 1% and 2.5%. 

Also Read: Sensex continues rallying, close to touching its peak

The stocks of Infosys closed the day 2.4% higher. Infosys strongly reproved the claims made by an anonymous source which made whistleblower allegations against cofounders in its stock exchange filing today. The Infosys shares collapsed significantly on the day when whistleblower allegations were made. 

L&T, Tata Motors and Hindustan Unilever are the other stocks which saw significant gains. The Indian stock markets were expected to perform this way right after the new government was elected in June 2019. However, things didn’t go as planned and resulted in the benchmark indices losing ground significantly. 

But now, the benchmark indices have managed to gain the lost glory. One of the primary reasons for this is the higher corporate earnings in the previous quarters announced by the heavyweights. Also, the Finance Minister announced a cut in the corporate tax rate, much to the delight of companies. 

The global factors are also fuelling the rallying of the Indian markets. Another significant factor influencing the stock markets is the expectations of further reforms on the tax front by the government. Furthermore, the Federal Reserve and Reserve Bank of India announced cut in the interest rate, which has boosted the consumption.

For any clarifications/feedback on the topic, please contact the writer at vineeth.nc@cleartax.in

Share

Recent Posts

Mutual Funds: SIP Inflows Breach Rs 19,000-Crore Mark for the First Time in February ’24

The systematic investment plan (SIP) contribution in February 2024 has crossed a new milestone. The monthly contribution tipped at Rs…

2 months ago

Income-Tax Return: A Brief Note on Annual Information Statement (AIS)

The Income-Tax (I-T) Department has directed taxpayers to access the Annual Information Statement (AIS) via the e-filing official portal and…

2 months ago

Mutual Funds: All About SIP and Market Fluctuations

Considering the vagaries of the stock market, investors often ponder over reevaluating their strategies. Whether to continue to remain invested…

2 months ago

Income-Tax Saving Through Strategic Life Insurance Planning

Financial planning is beyond just investing wisely to save on taxes; it's also related to protecting oneself and one's loved…

2 months ago

Income-Tax Return: Here’s a Note on Tax-Saving Avenues

A salaried individual earning up to Rs 5-15 lakh as net salary on an annual basis must first take stock…

2 months ago

A Quick Take on Equity-Linked Savings Scheme

Equity-linked savings schemes (ELSS), also referred to as tax-saving schemes, are equity funds that invest a significant portion of their…

2 months ago