Samvat 2081 begins on bullish note as Sensex, Nifty witness solid gains
The Sensex lost 5.82 per cent in October due to heavy selling by foreign investors.
Ashishkumar Chauhan, MD and CEO, NSE, along with wife and actors Vikrant Massey, Ridhi Dogra, and Raashii Khanna, during a special Muhurat trading session on the occasion of the Diwali, in Mumbai. Ganesh Shirsekar
Stock markets on Friday ushered in Samvat 2081 on a positive note with the BSE Sensex rising 0.42 per cent or 335 points, to close at 79,724.12, and the NSE Nifty gaining 99 points (0.41 per cent) to settle at 24,304.35 on all-round buying support.
The small-cap index increased by 1.16 per cent, while the mid-cap grew by 0.69 per cent, indicating the broad optimism in the market during the special Muhurat trading between 6 pm and 7 pm.
The Sensex lost 5.82 per cent in October due to heavy selling by foreign investors.
According to analysts, despite the recent fall in the markets, the optimism during the Muhurat trading signifies positive investor sentiment. “It is likely that the current correction in the markets is likely to start correcting itself in the next few weeks. Possibly, somewhere between November 15 to January 15, the markets should start stabilising and demonstrate a definite trend, most likely positive,” said Vikas Gupta, CEO, Omniscience Capital.
“It is clear that the obvious investment opportunity lies in the large-cap space. Of course, the small caps could also offer lots of investment opportunities given that there are nearly 1,000 small caps in the Indian stock markets. However, the mid-cap space is where one has to be careful. With only 150 mid-caps, it is unlikely that one would find lot of opportunities when the index itself is so overvalued,” Gupta said.
As far as macro fundamentals are concerned, the GDP growth is expected to be 7 per cent plus in real terms, inflation is within the central bank’s target range and interest rates are likely to be cut across the globe over the next year. “Except for black swans which could derail the supply chains from Asia to Europe, the coast is clear for the markets. With the large caps significantly undervalued, and expectations of large earnings gains, it is likely that the Nifty 50 and Sensex could deliver an outsized gain in Samvat 2081,” he said.
“In today’s market, diversification is essential. Mutual funds, particularly thematic funds in infrastructure, technology, and renewable energy, offer a balanced, straightforward way for investors at any stage to benefit from long-term growth trends,” said Vivek Goel, Joint MD, Tailwind Financial Services. Index funds like the Nifty 50 and the Sensex also provide an accessible and low-cost route to capitalise on India’s top-performing companies, especially suited for passive investors aiming for consistent returns, he said.
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