Sensex Hits 85,000 and NSE Reaches All-Time High Amid Global Optimism
The stock market on Tuesday opened on a flat note but quickly saw Sensex surpass 85,000 at 85,001.42 and NSE hit a record 25,975 points due to global optimism.
Market Expert Insights
Market expert Ajay Bagga mentioned, “Indian market futures are pointing to a positive open. However, volatility will be high, given the month-end and quarter-end derivatives expiry on Thursday. The US dollar is firm and Gold is seeing buying as a safe haven given the geopolitical tensions in West Asia.”
Bagga added that with rate cuts by major global economies, the Indian market might follow global trends. He noted, “Chinese PBOC announced rate cuts, bank reserve cuts, and some stimulus measures to boost its property market and economy. Hong Kong and China shares are rallying post that. US markets marked a positive day on Monday as Fed senior speakers reiterated support for further rate cuts in the future. Geopolitical tensions are escalating with Israel’s bombing of Hezbollah units based in Lebanon. Eurozone growth numbers were muted.”
Sector Performance
At the National Stock Exchange (NSE), sectors like Bank, Auto, Financial Services, Media, Metal, Pharma, Healthcare, Consumer Durables, and Oil and Gas opened positively. However, Financial Services, FMCG, IT, PSU Banks, Private Banks, and Realty sectors opened in red.
Top Gainers and Losers
The top gainers in the initial hour of the market were Tata Steel, JSW Steel, Hindalco, Power Grid, and Nestle India. On the other hand, Infosys, Bajaj Finance, Wipro, Hindustan Unilever, and Divis Labs were the top losers.
Future Market Projections
Varun Aggarwal, MD of Profit Idea, stated, “Despite reaching new highs, there are currently no signs of reversal or market fatigue. The established pattern of higher highs and higher lows remains intact, suggesting that the index may aim for a target of 26,250, aligned with the 1.618 per cent Fibonacci extension.” He added, “Market sentiment remains optimistic, with a projected upward movement toward 26,200 in the near term. Key support is anticipated around the 21-EMA (Exponential Moving Average) at 25,700.”
Doubts Revealed
Sensex -: Sensex is a short form for the Bombay Stock Exchange Sensitive Index. It is a number that shows how well the top 30 companies listed on the Bombay Stock Exchange are doing.
NSE -: NSE stands for National Stock Exchange. It is another place where people can buy and sell shares of companies, similar to the Bombay Stock Exchange.
Global Optimism -: Global optimism means that people around the world are feeling positive about the future, which can make stock prices go up.
Derivatives Expiry -: Derivatives expiry is the date when certain financial contracts, like options and futures, come to an end. This can make the stock market more unpredictable.
Geopolitical Tensions -: Geopolitical tensions refer to conflicts or issues between countries. These can affect the stock market because they create uncertainty.
Sectors -: Sectors are different parts of the economy, like banking, automobiles, and pharmaceuticals. Each sector includes companies that do similar types of business.
Top Gainers -: Top gainers are the companies whose stock prices have increased the most in a given period.
Top Losers -: Top losers are the companies whose stock prices have decreased the most in a given period.
Tata Steel -: Tata Steel is a big company in India that makes steel. It is part of the Tata Group, which is one of India’s largest business groups.
Nestle India -: Nestle India is a company that makes food and drinks. It is part of the global Nestle brand, known for products like Maggi noodles and Nescafe coffee.
Infosys -: Infosys is a big Indian company that provides IT services and consulting. It helps other companies with their technology needs.
Wipro -: Wipro is another large Indian IT company that offers technology services and solutions to businesses around the world.
Ajay Bagga -: Ajay Bagga is a market expert who knows a lot about the stock market and gives advice on how it might behave.
Varun Aggarwal -: Varun Aggarwal is a financial expert from Profit Idea, a company that gives advice on investments and the stock market.
