There were fluctuations in the stock market throughout the day on Monday, but there was a tremendous rise in the last hour of trading. BSE Sensex closed at 81,666.46, up 944 points, or more than 1%. Nifty also closed at 25,088.40, up 263 points, or 1%. Nifty Bank index also saw an increase of 200 points.
This sudden rise in the stock market was mostly due to buying by investors in the last hours of trading. There was significant buying in large-cap stocks, with stocks like Reliance Industries rising 3%. With this surge, the market capitalization of BSE increased by ₹ 5 lakh crore. Only 5 of the top 30 BSE stocks closed with a decline of more than 2%. The remaining 25 stocks saw significant growth. Stocks like Power Grid gained more than 7%. Shares of Adani Ports rose more than 4%, and shares of Mukesh Ambani’s Reliance Industries rose 3%.
Why did the stock market suddenly rise?
When investors feel that there has been a huge selloff in the stock market and now is the right time to buy, they invest in their favorite stocks. This is what happened on Monday. Major stocks like RIL, Power Grid, Mahindra & Mahindra, L&T, Bajaj Finance, ICICI Bank and Sun Pharma saw gains of up to 7%, indicating strong buying.