28th January 2023

Confidant Classes

Competitors' very first choice

Home | Edu NEWS | Sensex above the 40,000 mark

Sensex above the 40,000 mark

Sensex’s benchmark BSE index broke and closed above the 40,000 mark on Thursday and held gains even on Friday. In the last six trading sessions, the Sensex rose 2,209 points or 5.8% and closed at a seven-month high of 40,182.67.

  • Following the Reserve Bank of India’s monetary policy announcement on Friday, where it kept the repurchase rate on hold with an accommodative stance, the Sensex gained more ground and rose more than 200 points, trading at 40,400. In his policy statement, the RBI governor said that several high-frequency indicators aim to ease contractions in various sectors of the economy.

What is driving the market rally?

  • Better-than-expected figures on various economic fronts fueled the rally. If the good vehicle sales figures in September were one, TCS reported a strong performance for the quarter ending in September and raised the share prices of major IT companies.
  • Electronic bills rose 10% in September and energy demand also saw double-digit growth.
  • A Credit Suisse report showed that rail freight in the last 10 days of September rose 19% and the pharmaceutical market grew 4.5% in September.
  • As all these numbers point to a better-than-expected rebound in the economy, equity markets reacted to the same.
  • Credit Suisse, in its report, said the faster-than-expected normalization has raised expectations that GDP growth forecasts for fiscal year 21 will now be revised upward.

Does this sound sustainable?

  • In its monetary policy statement, the Reserve Bank of India said that several high-frequency indicators point to easing contractions in various sectors of the economy and the emergence of growth impulses.
  • He said that the deep contractions of the first quarter of 2020-2021 have been left behind, and the rays of light are visible in the flattening of the load curve of active cases across the country.
  • Barring a second wave, India is prepared to ignore the deadly control of the virus and renew its appointment with its pre-COVID growth trajectory.
  • The drop in COVID-19 cases over the past week has been of great benefit to the markets. With the numbers dropping, foreclosure restrictions have been further relaxed and central regulations now allow almost all activity.
  • This is expected to further strengthen the recovery in economic activity across the country and help maintain momentum in equity markets.
  • However, investors should be careful when selecting stocks, as multiple companies can trade at high valuations.
List of State Governments that Grant Educational Loans for Study Abroad

List of State Governments that Grant Educational Loans for Study Abroad

Study-Abroad Whether it is in Canada, the US, Australia or even the Ukraine, studying abroad is a difficult task to…
Read More
UGC NET December 2022: NTA sets upper age limit for JRF

UGC NET December 2022: NTA sets upper age limit for JRF

UGC NET December 2022 The NTA has decided that the deadline for determining the upper age limit for applying for…
Read More
Foreign Universities Indian Campuses

Foreign Universities Indian Campuses

Foreign-Universities-Indian-Campuses All foreign universities opening their branches in India will be able to conduct courses offline only. UGC Chairman, Mr….
Read More
GUJCET 2023

GUJCET 2023

GUJCET-2023 Gujrat Common Entrance Test (GUJCET) 2023, Registration starts on 6th January 2023. Interested candidates can check the eligibility criteria…
Read More
LSAT-India January 2023

LSAT-India January 2023

LSAT-India January 2023: The deadline to register for LSAT-India is 11 January 2023. Candidates can register at pearsonvueindia.com LSAT-India January…
Read More
Make CUET-PG mandatory for admissions for the next academic session- M Jagadesh Kumar

Make CUET-PG mandatory for admissions for the next academic session- M Jagadesh Kumar

Delhi University has already announced that it will adopt CUET UG and PG for admission to all courses, in all…
Read More
All  DU admissions  will be based on the CUET UG, PG score of the next academic year

All  DU admissions  will be based on the CUET UG, PG score of the next academic year

DU Admissions: Previously, the university conducted its own entrance exam (DUET) for admission to graduate courses. Prepare-for-CLAT-AILET-DULLB DU Admissions: The…
Read More
List of Scholarships Provided by Government of India for Study Abroad

List of Scholarships Provided by Government of India for Study Abroad

Study-Abroad-Scolarships Ministry of Education provides financial assistance to Indian students for higher education abroad. Interested applicants can check the official…
Read More
CLAT 2023 Exam Analysis

CLAT 2023 Exam Analysis

CLAT 2023 Exam Analysis: The Consortium of National Law Universities (NLU) held the Common Law Admissions Test on 18th December…
Read More
CBSE Board Exams Class 10, 12 from February 15

CBSE Board Exams Class 10, 12 from February 15

The data sheet was prepared by avoiding nearly 40,000 subject combinations to ensure that no two-subject combinations fall on the…
Read More

About Post Author

error

Enjoy this? Please spread the word :)