Peace in Hormuz and ‘rain of money’ in India! Stock market made Rs 5 lakh crore in minutes

Stock Market Update: Positive news coming from the Middle East and signs of easing of tension in the Strait of Hormuz have boosted the Indian stock market. As soon as the market opened on Wednesday, it seemed as if it became a rocket and in just a few minutes of trading, investors’ wealth increased by Rs 5 lakh crore. As soon as the news of easing of tension came, the Sensex crossed the magical figure of 900 points and reached an intraday high of 77,879.68. With this surge, the total market cap of BSE has crossed Rs 471 lakh crore.

The pace of the market can be gauged from the fact that at around 11 am the Sensex was trading at 77,840.50 with a gain of 953.59 points or 1.24 percent. At the same time, Nifty also did not lag behind and jumped 289.10 points or 1.2 percent to reach the level of 24,284.80. There was an all-round greenness in the market, where 2155 shares registered a rise, while only 1229 shares were trading with a decline. All 16 major sectoral indices were seen in the green, which brought cheer to the investors.

The main reasons for this tsunami-like rise in the market

The biggest reason behind this spectacular recovery of the stock market value buying doing. A decline was seen in Sensex and Nifty on Tuesday, after which on Wednesday investors bought heavily in sectors like Auto, IT, Realty and FMCG at low prices. In the last session, the Sensex had closed down by about 416 points, which the market compensated in the early hours today.

second biggest relief crude oil prices Got it from. Global benchmark Brent crude fell 0.21 percent to $111 a barrel. India imports most of the oil it needs, hence the cheapness of crude oil is like a lifesaver for the Indian economy. This not only reduces the country’s import bill, but also reduces the costs of companies in the transport, aviation and manufacturing sectors, thereby improving their profits.

Asian market and strength of fourth quarter results

The Indian market also got full support from the global market, especially the Asian markets. South Korea’s Kospi, China’s Shanghai Composite and Hong Kong’s Hang Seng were trading strongly, which boosted the enthusiasm of domestic investors. Along with this, the fourth quarter (Q4) results of the companies also supported the market.

Shares of leading auto company Maruti Suzuki witnessed a tremendous rise of 4 percent. Although there was a slight decline in the company’s profits, investors showed confidence in it after the brokerage house gave a positive report on demand and volumes. Similarly, on the basis of quarterly results, shares of Star Health jumped by 8.6 percent and shares of Eternal jumped by 2 percent. Auto index emerged as today’s top sectoral gainer with a gain of 2.5 percent.