nifty-hit-highs-banks-drive-market-up

Indian equity markets closed on a record-high note on Monday, with both the NSE Nifty 50 and the BSE Sensex reaching unprecedented levels.

The NSE Nifty 50 surged to a new all-time high of 23,754.15, before closing 183 points or 0.78% higher from its previous close, at 23,721. Similarly, the BSE Sensex touched a historic high of 78,165 and settled above the psychological 78,000 mark for the first time ever, ending the day 712 points or 0.92% higher at 78,054.

Leading the charge in the Nifty 50 were Shriram Finance, Axis Bank, ICICI Bank, and both HDFC entities. Meanwhile, the Bank Nifty index also saw a remarkable rally, gaining over 1,000 points in a single day and reaching an all-time high of 52,746.50. The Bank Nifty closed 902 points or 1.74% higher from its previous close, at 52,606.

However, not all sectors shared in the jubilation. The Nifty Midcap 100 index fell 209 points or 0.38%, closing at 55,369, with midcap stocks generally ending the day in the red. Sectoral indices such as Nifty Bank, Financial Services, and Private Banks were the primary drivers of the market’s new highs, while realty and metal stocks saw significant profit booking.

Despite the overall upward trend, the broader markets experienced mixed outcomes. Realty and metal stocks faced profit booking pressures, which tempered gains in other areas. Conversely, the financial sector, particularly private banks, propelled the market to new heights.

Vinod Nair, Head of Research at Geojit Financial Services, commented on the day’s performance: “The domestic market experienced a financial sector-driven rally today, primarily led by private banks, with the Nifty Bank reaching a new high and the Sensex surpassing 78,000. However, profit booking was evident in sectors such as realty, power, metals, and midcaps. Amidst moderate consolidations and sector rotations, the market is moving upwards due to expectations from the upcoming budget. Additionally, the progress of the monsoon is being watched for insights into the consumption outlook.”