Stock investors were in for a big surprise on the Monday morning, as soon as the stock market opened.
The critical BSE Sensex breached the 47,300 mark, the first time in history.
What exactly happened here?
Keep reading to find out more!
Sensex Breaches 47,300 Mark
As soon as the BSE opened on Monday, there was heavy buying reported all across, and by 10.30 AM, the Sensex was trading at 47,235.68 points.
This is 262 points or 0.56% more compared to Friday.
Heavy buying of stocks of banking, metal, oil and gas was witnessed, which triggered the sensex even more, and it cruised past 47,300 mark.
Although there was a little bit of downwar spiral, but the sensex recovered again, and at the time of writing (Monday, 1.22PM), sensex was hovering at 47,333 mark.
We asked few experts, what is the reason, and here is the reply.
Reason Why Sensex Breached 47,300 Mark?
Asper various experts, the primary reason was exUS President Trump signing the economic stimulus package of $900 billion, which triggered a global uprising of stock markets.
This stimulus package was critical, since in the absence of the same, all Govt related payments and expenditures were stopped in the US, and the economy was literally in paralysis.
Now, since this economic package has been approved, US Govt will be able to spend money, so will the US citizens, which gives a new hope to the global market.
And the impact was visible in India too, as the stock markets surged.
While BSE breached 47,300 mark, NSE’s Nifty50 was trading at 13,837.45, which is higher by 88.20 points or 0.64% higher from Friday.
Deepak Jasani, Head of Retail Research at HDFC Securities said, “Liquidity rush boosted by low or zero interest rates abroad is boosting stock markets across the globe. Absence of negative triggers is resulting in the current upward momentum being continued.”
We will keep you updated, as more details come in.
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