Sensex creates a milestone as it crosses the 50K mark
- IndiaGlitz, [Thursday,January 21 2021]
On Thursday, a historic milestone was pulled off by the BSE sensex, which crossed the 50,000-mark for the first time. For perspective, it was at the 35,000-mark in 2018. When Narendra Modi's BJP won a massive mandate in mid-2014, it broke into the 25,000 club.
A stock market report says that sensex jumped from the 45,000-mark to 50,000 in 35 sessions spread over a month.
After the lockdown in March, the stock markets showed signs of nervousness. Once economic activity started kicking in, massive improvements happened. This reflects the mood of the market, perked up by growing confidence in the future economic prowess of India.
A report says that the new milestone has mostly been led by gains in banks, auto and FMCG stocks. IT and pharma stocks, too, have played a role.
Investor mood is also changing with the new surges. A Livemint report quotes a survey as saying that a record net 92% of those surveyed expect higher inflation in the next 12 months.
There is also something about Joe Biden becoming the US President. The Democrat President has proposed a stimulus of $1.9 trillion. As per an analyst, this is likely to keep the markets at elevated levels in the short-term.