Mumbai: In November 2017, Ridham Desai, one of the top equity strategists at Global Financial Major Morgan Stanley, told the business channel that he expected Sensex to touch a 100,000 points in 4-5 years.
This at the time the index floated around 33,500 levels and almost every fund manager worth the roar was difficult to make money in Dalal Street.
Desai said the Indian market was at the top of a large rally when the driver for the same thing exists.
Market participants are then a lot of Desai comments.
Because most of it is courage of crystal gaze or ignorance.
For many small ones, it is an expression of hope.
But no one can stick and support a bullish call like that.
Because memes are not in the mode later, the desire is avoided from trolled for its predictions.
Nearly four years until the date since the desire made the prediction, because Sensex scale 60k in early trade on Friday, investors in Dalal Street now believe that the 1-lakh sign is within their reach.
They also believe that the Indian market capitalization can immediately go above the $ 5 trillion sign, from around $ 3.6 trillion now, and run GDP with the magic character.
They saw a smooth sled line for the Indian market because some tailwinds were visible.
According to Balasubramanian, MD & CEO, Aditya Birla Sun Life Mutual Funds, flows on sustainable funds, sectoral rotation in the market and gradual opening of the domestic economy when we enter the celebration season helping to maintain the market momentum remain stable.
The top fund manager, which manages around Rs 1.2 lakh crore in the equity scheme, also feels that when interest rates rise, at least during the initial period, it is a sign of return on economic growth.
From this end is concern among analysts and investors that when the US central bank began to raise the interest rate from current zero levels, stock prices could improve.
On Friday, Sensex opened above the 60K mark at 60,159 points, more than 200 points from the previous closher, scales high-value at 60,333 and closed at 60.048 – a 163 points increase.
Driven by a statement from the Head of the US Central Bank which indicated that the easier money from the world’s largest economy will continue at least until the mid 2023, investors pushed stock prices globally.
As a result, in two sessions, Sensex gained almost 1,100 points.
At NSE, Nifty rose 30 points to get closer to the 18K mark because it was closed at 17,853 points.
Rally in the past few months has been assisted by the launch of a steady covid vaccine, although sometimes slow, throughout the world.
It has also been assisted by several changes in funds from China to India by the global fund manager after the government in the second largest economy in the world removes several large companies because it is intended for a fairer wealth distribution.
In the past year, most Indian companies also try to reduce their debt, which also helps rally in the domestic market, dealers and analysts say.
A strong market rally in 2021 has also made investors richer by Rs 75 Lakh Crore with the capitalization of the BSE market now at RS 263 Lakh Crore.
So far this year, the index has rallied from the sub-50K level to the current peak mostly behind the strong purchases in the TCS and Infosys, Bajaj and HDFC, Bharti Airtel twins.
Lately, after ranging for most of these months around the level of Rs 210, ITC has also gathered strongly, leading to other Meme Memories about the Major cigarette-to-FMCG based in Kolkata.
On sectoral fronts, metal stocks and basic material companies race in front of most other sectors.
As a pandemic forcing users these materials to realize their excessive dependence on China and seek additional sources of procurement, companies from these sectors see their luck, analysts said.
Foreign and domestic funds have also poured money into the stock market in 2021.
While FPI has a net that is infused by almost Rs 65,000 Crore, mutual funds have a net buying stock worth Rs 18,249 Crore, official data.
Sensex in sixty
