The 30-share BSE Sensex achieved the historic 80,000 mark for the first time on Wednesday, July 3, fuelled by its fastest-ever 10,000-point bullish rally in record 58 sessions. The benchmark index hit the historic 80,000 level in six months, including a special live trading session on May 18, after hitting the 75,000 mark on April 9. In June alone, Sensex breached three significant levels, hitting the 77,000-mark on June 10, 78,000 on June 25, and the 79,000-mark on June 27.
Sensex surged 632.85 points or 0.79 per cent to hit a record intraday high of 80,074.30 on July 3. The index later closed near the 80,000 level at 79,986.80, up by 545.35 points or 0.69 per cent over the last close. Heavy buying in banking and FMCG shares and firm trend in global market supported the rise in indices.
Among the Sensex pack, Adani Ports rose the most by 2.49 per cent. Kotak Mahindra Bank, HDFC Bank, ICICI Bank Axis Bank, IndusInd Bank, State Bank of India, Power Grid, JSW Steel, Bajaj Finance and Tata Steel were the biggest gainers on Wednesday. The market capitalisation of BSE-listed firms hit a record high of ₹445.43 lakh crore.
On the global front, the US Federal Reserve chief’s commentary on inflation cooling down to two per cent by the end of CY25 was sentimentally positive for markets. Fed chief Powell yesterday made a dovish remark that the US is on a disinflationary path. The Fed’s next rate action could be a rate cut. Reserve Bank of India (RBI) is likely to follow suit with a rate cut in the next policy meeting.
Sensex historical journey
As many as 16 years ago, the Sensex was at 8,800 on the day when US banking major Lehman had crashed. However, the BSE benchmark was at 26,000 just four years ago during the COVID pandemic. Sensex added the last 10,000 points in under seven months, first hitting the 70,000-mark on December 11, 2023.
Market experts highlighted that India’s robust macroeconomic growth, credit expansion, and policy continuity have instilled confidence among investors. Positive cues from global markets have also helped Sensex reach these levels, according to Arvinder Singh Nanda, Senior Vice President of Master Capital Services.
‘’It gives confidence that equity markets did perform well in the long run, we need patience and confidence while investing and even after it. Based on the current domestic macros, our advice is to continue investing systematically in equities with a long term perspective,” said Shrikant Chouhan, Head Equity Research, Kotak Securities.
