Propelled by global cues, Sensex soars 1,400 points, Nifty makes fresh high

The Indian Benchmark equity indices, BSE Sensex and NSE Nifty, ended at record high closing levels with gains of over 1.5 per cent each on Thursday, fuelled by massive buying across sectors. The BSE Sensex added 1,439.55 points or 1.77 per cent to settle at 82,962.71.

Similarly, Nifty50, settled higher at 25,388.90, up 470.45 points or 1.89 per cent. During the intraday trade, the Nifty50, too, soared 415 points to a lifetime high of 25,433.35, crossing the 25,400 level for the first time ever. So, what are the reasons behind the bull run?

According to Narendra Solanki, Head Fundamental Research - Investment Services, Anand Rathi Shares and Stock Brokers, Indian markets opened in green on back of positive Asian markets buoyed by a tech-fuelled rally on Wall Street overnight during the afternoon session markets further gained in strength and traded sharply higher as traders preferred to buy large cap stocks.

“The markets further gained strength on news of China cutting rates by 50 bps on $5 trillion mortgages as soon as this month to boost consumption came out ahead of a European Central Bank (ECB) policy meeting later in the day; providing much needed sentimental boost to the markets,” said Solanki.

Analysts said the thaw or easing tension between India and China ties led to rally. Experts said falling Volatility Index is also one of the reason behind bullish markets.