Indian Markets Hit Record Highs: Nifty 50 and Sensex Surge
Indian markets kicked off the new week by hitting fresh all-time highs as both the Nifty 50 and Sensex surged in Monday’s opening session. The Nifty 50 index reached a new 52-week high, opening at 25,872.55, gaining 81.60 points or 0.32 per cent. Sensex also joined the rally, opening at 84,651.13, gaining 106.82 points or 0.13 per cent, and soon after hit its own new all-time high of 84,843.72 points.
Both indices continue to trade at record levels, fueled by a bullish trend driven by increased foreign inflows into Indian equities. Experts attribute this bull run primarily to the high Foreign Institutional Investors (FII) inflows and are optimistic that if these inflows continue, the markets will sustain their upward momentum.
Ajay Bagga, a banking and market expert, said, “Indian markets are primed for a further run up on the back of the massive FII inflows of Friday and benign global cues. However, the caution comes from the overbought nature of the markets, with flows boosting valuations further. Asian markets are mixed, with Japan closed for a holiday. Indian stock futures are indicating a strong start to today, but the overbought levels indicate some profit booking will emerge. However, if FII allocations remain robust, that will be absorbed and markets will continue their onwards journey.”
Among the sectoral indices on the NSE, Nifty Realty led the gains, surging by 0.98 per cent. However, Nifty IT and Nifty Private Bank declined marginally at the time of this report.
Asian markets were also trading with gains on Monday. Hong Kong’s Hang Seng index rose by 0.84 per cent, while Taiwan’s Taiwan Weighted index gained 0.38 per cent. South Korea’s KOSPI index was up by 0.28 per cent, though Japan’s markets were closed for the day.
In contrast, European markets closed with selling pressure on Friday. The UK’s FTSE index declined by 1.20 per cent, France’s CAC index dropped by 1.54 per cent, and Germany’s DAX index closed down by 1.51 per cent. US markets also experienced selling pressure on Friday. The S&P 500 slipped by 0.19 per cent, while the Nasdaq closed down by 0.36 per cent.
Doubts Revealed
Nifty 50 -: Nifty 50 is a stock market index in India. It shows how the top 50 companies listed on the National Stock Exchange (NSE) are performing.
Sensex -: Sensex is another stock market index in India. It tracks the performance of 30 well-established companies listed on the Bombay Stock Exchange (BSE).
Foreign Institutional Investors (FII) -: Foreign Institutional Investors are people or companies from other countries who invest money in Indian markets. Their investments can make the market go up or down.
Sectoral indices -: Sectoral indices are groups of stocks from the same industry. For example, Nifty Realty is a sectoral index that includes companies from the real estate sector.
Asian markets -: Asian markets refer to stock markets in Asian countries like Japan, China, and India. They show how stocks are performing in these countries.
European and US markets -: European and US markets are stock markets in Europe and the United States. They show how stocks are performing in those regions.
