Share Market Rally: On the first day of the week also, there was a strong boom in the stock market, due to which the Sensex has increased by 422 points to reach 65,140. Within no time, the Sensex crossed the emotional level of 65,000 and reached 65,228. The Nifty also rose 122 points to reach 19,311. The merger of HDFC Bank and HDFC Ltd has been well received by investors and other stocks are also up.
The effect of boom in other Asian markets has also been seen in India. Sensex has crossed 65,000 for the first time while Nifty has gone above 19,300 for the first time. HDFC Bank and HDFC shares gained 3 per cent each today. Both these stocks have contributed the most in the rise of Sensex. HDFC shares today rose 3.7 per cent to hit an all-time high of 2926. While HDFC Bank’s stock rose 3.2 percent to 1757.
Talking about the top performing stocks of Sensex, UltraTech Cement and Mahindra & Mahindra are on top. Both these stocks have increased by two per cent each. Whereas Tata Motors, SBI, Wipro, Tata Steel opened at higher prices. On the other hand, Power Grid, Asian Paints, Axis Bank, Maruti, Tech Mahindra and Sun Pharma opened with losses.
What should investors do now?
VK Vijayakumar, chief investment strategist at Geojit Financial Services, said one difference between the rally in the US and India is that the market rally in the US is driven by stocks of eight technology companies, while the market rally in India is more broad-based. In the month of June, an investment of Rs 47,148 crore came in the market, which is the main reason behind the boom. For the Nifty, the level of 19,350 is now looking very close. Investors can still continue to buy quality stocks.
global market outlook
Data has come that banks around the world have now reached the end of the interest rate hike cycle. Japan’s Nikkei index rose 1.65 percent, while China’s index rose 1.29 percent and Hong Kong’s Hang Seng rose 1.91 percent. Oil prices have come down on Monday. The price of Brent crude oil decreased by 0.3 percent to 75.21 per barrel. When the rupee increased by 19 paise, the value of one dollar was Rs.81.91.
