Business
Indian Stock Market Surges as Sensex and Nifty Hit Record Highs
On September 12, 2024, Indian stock markets experienced a significant rally, with the BSE Sensex soaring by 1,593 points or 2%, reaching an intraday high of 83,116. This marked the first time the Sensex crossed the 83,000 mark. Similarly, the Nifty50 index surged by 415 points to a lifetime high of 25,433, crossing the 25,400 level for the first time.
Despite slight declines, the BSE Sensex ended the day at 82,962.71, up 1,439.55 points or 1.77%. The Nifty50 closed at 25,388.90, rising by 470.45 points or 1.89%. Notable gainers included Hindalco, Bharti Airtel, NTPC, Shriram Finance, among others, advancing between 2% and 3.5%.
The broader markets also benefited, with the Nifty MidCap index adding 1.2% and the Nifty SmallCap gaining 1%. The Indian markets saw a surge in buying activity, particularly in large-cap stocks, boosted by China’s reported prepared cut in mortgage rates and an upcoming European Central Bank policy meeting.
Narendra Solanki of Anand Rathi Shares and Stock Brokers remarked on the market’s strength due to these developments. Simultaneously, short covering in the Nifty index calls contributed to market activity.
Further, metal stocks witnessed an afternoon surge, with the Nifty Metal index closing 2.9% higher. Shares like Nalco, NMDC, Hindalco, Vedanta, and Jindal Steel recorded notable gains. This momentum was partly driven by reports of China’s potential mortgage rate cuts to boost consumption.
In addition to the internal factors, geopolitical developments seemed to aid the market rally. Minister of External Affairs S Jaishankar’s statement on progress in India-China border talks added confidence among investors.
Globally, U.S. stock futures also moved higher with the Dow Jones Industrial Average and Nasdaq recording gains. European stocks opened positively, with tech and mining sectors making significant advances. Meanwhile, major Asian indices, including Japan’s Nikkei and South Korea’s Kospi, concluded the day with notable increases.
