Equity investors became richer by Rs 2.4 lakh crore as key benchmark indices Sensex and Nifty scaled new peaks in morning trade today, amid persistent foreign fund inflows.
Analysts said foreign institutional investors have reversed their selling strategy and have been consistent buyers during the last seven days. This momentum is a reflection of institutional confidence in the Indian market, they said.
The 30-share BSE Sensex jumped 169.94 points, or 0.25 per cent, to a new peak of 69,035.06 in early trade. The broader index Nifty also climbed 52.60 points, or 0.25 per cent, to hit its all-time high of 20,739.40.
Following the rally, the market capitalisation of BSE-listed firms jumped by Rs 2.4 lakh crore to Rs 345.88 lakh crore in morning deals on Tuesday, from Rs 343.48 lakh crore on Monday.
Among the Sensex firms, Adani Enterprises and Adani Ports sustained their gaining momentum and traded higher by 4.40 per cent and 4.37 per cent, respectively. BPCL, Axis Bank, Mahindra & Mahindra and SBI were the other major gainers.
As many as 20 stocks of the 30-share benchmark were trading in the positive territory. Among Nifty stocks, 29 shares registered gains.
In six trading sessions, investors' wealth has gone up by Rs 17.16 lakh crore.
In the broader market, the BSE midcap gauge jumped 0.54 per cent and smallcap index climbed 0.50 per cent.
The combined market valuation of all listed companies on the BSE reached the USD 4 trillion-milestone for the first time ever on November 29.
The market capitalisation of listed companies on the NSE has surpassed the USD 4 trillion (Rs 334.72 trillion) mark for the first time ever on Friday.
According to Siddhartha Khemka, Head - Retail Research, Motilal Oswal Financial Services Ltd, Indian equities celebrated BJP's sweeping victory in the three states by rallying more than 400 points to hit fresh highs.
"The outcome overwhelmingly in favour of the incumbent BJP, strong macroeconomic data and easing global interest rate expectations boosted the market momentum. Nifty has rallied by 1,865 points or 10 per cent from its low of 18,837 made on October 23.
"We expect market sentiment to strengthen further as the ongoing pre-election rally is quite strong now. Given the government's focus approach towards long-term capex across key areas, we expect BFSI, Industrials, Real Estate, Auto and Consumer Discretionary to do well going forward," Khemka added.
(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)
