Sensex and Nifty at All-time Highs: Investors Gain around Rs. 7 lakh crore Today

In a volatile session, heavyweight banks and IT sectors helped propel Indian equities to a record high. Together, the BSE Sensex and the Nifty 50 reached all-time highs of 25,337 points and 25,337 points, respectively.

The Sensex had gained 1.5%, while the Nifty had gained 1.7%. All BSE-listed businesses had a ₹6.6 lakh crore increase in market capitalization, bringing the total to ₹467.36 lakh crore.

While the Nifty Bank, Auto, Financial Services, Healthcare, and Oil & Gas sectors all had advances of more than 1%, IT businesses witnessed a 1% increase. Together, Bharti Airtel, Reliance Industries, HDFC Bank, and Infosys helped the Sensex gain by about 500 points. The index saw a large increase due in part to the contributions of L&T, M&M, NTPC, ICICI Bank, and SBI.

In a volatile session, heavyweight banks and IT sectors helped propel Indian equities to a record high. Together, the BSE Sensex and the Nifty 50 reached all-time highs of 25,337 points and 25,337 points, respectively.

The Sensex had gained 1.5%, while the Nifty had gained 1.7%. All BSE-listed businesses had a ₹6.6 lakh crore increase in market capitalization, bringing the total to ₹467.36 lakh crore.

While the Nifty Bank, Auto, Financial Services, Healthcare, and Oil & Gas sectors all had advances of more than 1%, IT businesses witnessed a 1% increase. Together, Bharti Airtel, Reliance Industries, HDFC Bank, and Infosys helped the Sensex gain by about 500 points. The index saw a large increase due in part to the contributions of L&T, M&M, NTPC, ICICI Bank, and SBI.

This coincides with a little increase in US consumer prices in August, as core inflation increased by 0.28%, above the predicted 0.2% increase. Geojit Financial Services' Chief Investment Strategist, V K Vijayakumar, stated, "The most recent US inflation figures are somewhat encouraging for markets. The 12-month inflation rate dropped from 2.9% to 2.5% in August due to the CPI inflation rate of 0.2%. This sets the stage for the Fed to lower interest rates in September. But given that core inflation is still high at 3.2%, the Fed is probably going to exercise caution and hold off on cutting rates by 50 basis points, ultimately opting to decrease rates by 25 basis points.

In September, however, oil prices fell more than 10% as a result of sluggish demand in China and worries about global oversupply.

"Indian markets opened in green on back of positive Asian markets buoyed by a tech-fueled rally on Wall Street overnight during the afternoon session markets further gained in strength and traded sharply higher as traders preferred to buy large cap stocks," stated Narendra Solanki, Head of Fundamental Research, Investment Services, Anand Rathi Shares and Stock Brokers. "A much-needed psychological lift to the markets was provided by the announcement that China will be lowering interest rates on $5 trillion worth of mortgages by 50 basis points as early as this month in an effort to encourage consumption. This news broke ahead of the European Central Bank's (ECB) policy meeting later that day."