Mumbai: Indian benchmark equity indices reached all-time highs on Monday, with the Nifty 50 breaking above 23,000 and the BSE Sensex exceeding 76,000. This spike was fueled by exit polls that predicted a landslide victory for Prime Minister Narendra Modi's BJP government, boosting investor confidence in a stable third term.
The BSE Sensex opened 2,178 points higher, or 2.94 percent, at 76,139, while the Nifty 50 rose 579 points, or 2.57 percent, to 23,109. Surprisingly, all 30 businesses on the Sensex were trading higher.
Notable gainers in the market rally were Power Grid, NTPC, Larsen & Toubro, State Bank of India, Axis Bank, IndusInd Bank, ICICI Bank, and Mahindra & Mahindra. The market capitalization of all listed businesses on the BSE increased by ₹11.1 lakh crore, reaching Rs 423.21 lakh crore.
Sector-wise, the Nifty PSU Bank, Oil & Gas, Financial Services, Metal, Realty, and Auto sectors saw 3-5 percent advances. This spike in the stock market coincided with the announcement of India's GDP data, which showed an outstanding 8.2 percent growth rate for the fiscal year ending March. Meanwhile, in Asian markets, Seoul, Tokyo, and Hong Kong all rose, but Shanghai fell.
On the global front, US markets mainly finished higher on Friday. Foreign Institutional Investors (FIIs) remained positive, investing Rs 1,613.24 crore in Indian shares on Friday, according to exchange statistics. The global oil benchmark, Brent crude, fell 0.04 percent to USD 81.08 a barrel.
The historic leap in the Indian stock market reflects investors' growing confidence in the face of political stability and encouraging economic data. Exit polls indicate that the Bharatiya Janata Party (BJP) and its partners are on track to win more than 370 seats in the Lok Sabha elections. The weeks-long election wrapped up last Saturday vote counting is set for June 4.
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