After opening the day in green, share markets in India witnessed positive trading activity throughout the day and ended the day in green, at a new all-time high close. Sectoral indices too ended the day in green, with stocks in the power sector and stocks in the banking sector leading the gains.
At the closing bell, the BSE Sensex stood higher by 442 points (up 1.2%) and the NSE Nifty closed up by 135 points (up 1.2%). The BSE Mid Cap index ended the day up 1.1%, while the BSE Small Cap index ended the day up by 0.7%.
Asian stock markets finished in green. As of the most recent closing prices, the Hang Seng was up by 2% and the Shanghai Composite was up by 1.9%. The Nikkei 225 was up by 0.8%. Meanwhile, European markets were trading on a positive note. The FTSE 100 was up by 0.2%, The DAX, was up by 0.6% while the CAC 40 was up by 0.5%.
The rupee was trading at Rs 70.11 against the US$ in the afternoon session. Oil prices were trading at US$ 74.8 at the time of writing.
What cycle of the markets are we in? Are we at the peak or is the party set to continue? The Sensex seems to be touching new all-time highs every single day.
We believe that when earnings improve and stock prices also go up, it’s time to hold on and enjoy the ride.
Also, the recent earnings of non-financial companies present a promising picture. But is it a true picture of what lies ahead? But the current situation is different. While the Sensex is reaching new highs, the mid cap index and the small cap index have corrected sharply this year.
Is the Growth Story Back for Listed Indian Companies?
For listed non-financial entities, net sales for the June quarter grew by 18.5% over the same quarter last year. Net profits were up by 33.6%.
This is good but remember, it was mainly due to the low base of last year. You see, at this time last year, a lot of companies were severely impacted by the twin effects of demonetization and the GST implementation.
