September 24, 2021 3:40:41 am
Driven by retail investors, stock markets continued to scale new highs on the back of abundant liquidity and strong global cues, with Sensex almost on the verge of hitting the 60,000 level.
Led by realty, banking and capital goods shares, the Sensex jumped 958 points, or 1.63 per cent, to 59,885.36 and the NSE Nifty Index shot up 276 points, or 1.57 per cent, to 17,822.95 as retail investors continued their buying frenzy despite valuations ballooning to high levels.
The upsurge was on the back of impressive gains in realty stocks on the back of economic recovery. US markets are leading the bull rally from the front, ignoring even tapering indications from the US Federal Reserve. All previous bull markets in India — 1992-92, 1994, 1998-2000 and 2003-07 – were followed by corrections of 5 per cent, 10 per cent and even 20 per cent. “But this will change and the market will correct, perhaps soon, since valuations are hard to justify,” said V K Vijayakumar, chief investment strategist at Geojit Financial Services.
Meanwhile, the rupee rebounded 23 paise to close at 73.64.
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