The stock market rebounded on Wednesday, giving investors confidence in political stability and continuity. Both indices had plunged by around 6% on Tuesday, posting their worst day in over four years in the previous session as a narrow win for the BJP-led NDA in the Lok Sabha, raising concerns about policy continuity. Sensex opened higher at 73,027.88 and touched an intraday high of 74,534.82. The index closed at 74,382.24, up 2,303.19 points, or 3.20%.
The Nifty 50 opened higher at 22,128.35 and climbed to a high of 22,670.40 in intraday trades. Pared some of its gains to close at 22,620.35, up 735.85 points, or 3.36%. All the sectors were trading in the green, having gained between 2.3% and 5.8%. The bank, auto, financial vices, FMCG, and metal indices had gained more than 4% each. The broader market was up, with the BSE MidCap index gaining 4.48% and the BSE SmallCap index climbing 2.93%.
All of the stocks on the 50-stock Nifty 50 and the 30-stock BSE Sensex were trading in green.
On Nifty, shares of IndusInd Bank, Adani Ports & SEZ, Hero MotoCorp, Mahindra & Mahindra, and Tata Steel emerged as the top gainers. While on the Sensex, IndusInd Bank, Tata Steel, Mahindra & Mahindra, and Bajaj Finance were the top gainers. Over the last two sessions, Mutual funds lost a whopping
ping Rs 90,000 crore in market value. As of June 3, mutual funds held shares worth over Rs 5.71. lakh crore in 84 state-run firms. After the unexpected election result, this value dropped to Rs 4.83 lakh crore