The stock market was seen closing in the red for five consecutive sessions. Last Thursday, the domestic stock market fell heavily. But on Friday the domestic stock market made a strong comeback. However, the market could not maintain the initial rise till the end. Last Thursday, Bombay Stock Exchange’s benchmark Sensex fell 1,062.22 points and closed at 72,404.17. NSE’s Nifty also closed at 21,967.10 points with a fall of 335.40 points. After this huge shock, the domestic stock market made a comeback and made strong gains in the beginning of the trading session. After all, it is important to understand how the market made a comeback today. Market experts have enumerated some special reasons behind this.
Because of this the market rose today
market expert Kunal Saraogi has india tv Speaking to PTI, he said that the market got technical support on Friday and since there was a continuous trend of decline in the market for the last three-four sessions, that is why there was an increase in the market today. He said that the markets are keeping a close watch on the voting percentage in the Lok Sabha elections. As trends emerge, the market will behave accordingly. When he was asked what trend would be seen in the market after June 4, he said that if the government of other parties comes, then correction can be seen in Nifty. Nifty may go around 20,500. But if a permanent government is formed then the market will not be affected much.
market expert Sandeep Jain It is also said that since there is a decline in the market for three-four days, then obviously there is a bounce back for profit booking. Investors buy from lower levels. Due to this, there was a rise in the market today. Sandeep Jain said that high valuation stocks should be avoided before June 4. There may be a possibility of huge loss. Nifty can also reach the level of 22,500 before the election results. Jain said that at present the impact of the global market on the Indian stock market is less.
Currently, investors can pay attention to these stocks
Saraogi said that till the elections, good performance can be seen in the stocks of defence, PSU, telecom and rail sectors. Investors can buy in it. However, he advised to be cautious about NBFC and IT stocks. He says that if there is a correction of 500-1000 points in Nifty in the coming days, then you can buy stocks on dips. Apart from this, market expert Sandeep Jain says that stocks of banking, automobile sector can be taken before the election results. Their results are good.
These were the reasons for the decline in the market in the last several sessions
Experts say that for the past several sessions, a trend of two declines has been seen in the market. The main reasons behind this are the ongoing Lok Sabha elections 2024 in the country, strong selling by FIIs, rise in US dollar rates, US Federal Reserve’s These include a rise in treasury yields, weak Q4FY24 results and a rise in the India VIX index. Due to these factors also a negative trend was seen in the Indian stock market.
Latest Business News