1. Sensex surged over 1,600 points to a record 76,795.31.
2. NSE Nifty50 climbed 2.07% to 23,294.2.
3. Stock indices bounced back after NDA’s reduced mandate in Lok Sabha results.
Mumbai, June 07: Benchmark stock indices bounced back from their initial downturn following the reduced mandate for the BJP-led NDA in the Lok Sabha election results, with the Sensex reaching an all-time high on Friday.
The S&P BSE Sensex surged over 1,600 points to a record 76,795.31, while the NSE Nifty50 climbed 2.07% to 23,294.2.
This stock market rally was primarily driven by the RBI’s upward revision of its GDP growth forecast for FY25 to 7.2%, up from the previous 7% estimate.
Additionally, the RBI maintained the interest rate at 6.5% for the eighth consecutive time.
Interest rate-sensitive sectors like banking, finance, automotive, and real estate saw significant gains, with stocks jumping as much as 8% after the RBI’s announcement.
The total market capitalisation of all companies listed on the BSE increased by Rs 7.68 lakh crore, reaching Rs 423.57 lakh crore.
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IT and banking stocks were at the forefront of the gains, with the tech sector leading the charge.
Wipro surged over 5%, Infosys by 3%, and Tech Mahindra, TCS, and HCL Tech each gained between 2-3%.
Other major gainers in the Sensex included Bajaj Finance, Ultratech Cement, and Tata Steel. Reliance was pivotal in the rally, contributing 192 points to the Sensex.
Shareholders in the real estate sector soared up to 8% following the RBI’s decision. Sunteck Realty and Sobha rose 8%, while Brigade, Lodha, and Mahindra Lifespace saw increases between 2-5%.
Nifty Bank stocks also experienced significant gains, rising up to 3%. Bandhan Bank, Federal Bank, AU Small Finance Bank, Axis Bank, ICICI Bank, and Bank of Baroda each saw increases between 1-3%.
Additionally, shares of Bajaj Finance, SBI Card, Bajaj Finserv, and IDFC rose between 1-3.5%.
Nifty Auto stocks also climbed by up to 2.5%, with Mahindra and Mahindra surging by 5.38%.
