The Indian stock market continues its winning streak as it closed on a new all-time high on Friday. The BSE Sensex closed 34,153, which is 184 points higher than the earlier record.
The Nifty50 also joined the party and closed at 10,558 points. Market experts are attributing this jump to the positive economic data from across the world. According to the market data, around 1,714 shares advanced in the trade by the day end.
There was a strong rally in the midcap index as well. BSE Midcap index added 124 points and closed at 18,070 points. Stocks like IDFC Bank, UBL, Adani Enterprises, RBL Bank, all saw an uptick. Market experts believe that the stocks are riding on a positive market sentiment after a lot of robust economic data started coming in from big players like the USA.
Likewise the smallcap index closed at a high of 189.28 points at 19,704.92. Many smallcap stocks were big gainers at the end of the trade. Symphony, Indo Solar, GM Breweries, Subros were the big gainers of the day.
Another section of the market which caught the fancy of the bulls was the banking sector. Private bank stocks went up in today’s trade, unlike their public sector counterparts. IDFC Bank saw an uptick of up 6.42%. Likewise, YES Bank also went up by 5.50%, South Indian Bank saw a hike of 4.63%.
Indian stock market has been rallying up with minor corrections here and there, since the last couple of years. Many market pundits believe that the valuations in the market are stretched and are predicting a correction. But as of now, the markets are on a winning streak with domestic inflows on a record high.
Some of the economists are attributing the current boom to the positive sentiment around the union budget set to be presented next month. The Finance Minister of India, Arun Jaitley, is expected to present the union budget for the financial year 2018-19 on February 1, 2018. Market participants are expecting some good policies around sectors to push the market further up.
The domestic inflows in the market have been keeping the markets up, even when the foreign inflows have been less lately. While many investors are flocking to stock markets with a hope to earn better returns than the dipping fixed deposits and bank deposits, experts suggest individual investors go the mutual fund route to invest in the market at such high levels. These experts are cautioning the investors of a sharp fall anytime.
