The Indian stock market experienced another day of gains on Monday, marking the sixth consecutive day of its upward trend.
The Sensex surged over 700 points, reaching 77,553.65 during early trading, while the Nifty50 climbed nearly 195 points, standing at 23,545.35. Strong performances in the banking and financial sectors were the key drivers behind the rally.
Foreign Institutional Investors (FIIs) have shifted from being net sellers to buyers, spurred by improved macroeconomic conditions and fair stock valuations. According to Dr. V. K. Vijayakumar of Geojit Investment Services, this change has led to significant short-covering, further amplifying price increases. However, experts urge caution as looming uncertainties, such as reciprocal tariffs and global trade tensions, could impact the market’s momentum.
Indian markets are currently outperforming global counterparts, including the U.S. This positive sentiment, coupled with strong tax revenues and resilient market performance, has solidified investor confidence. The upcoming Q4 earnings season is expected to further influence the market’s trajectory.
Kranthi Bathini of WealthMills Securities highlighted that as long as Nifty holds above the 23,000 level, the market is poised for strong performance in the medium to short term. Nonetheless, geopolitical factors and global economic trends remain critical to watch.
