June 24, 2024
New Delhi, India
On June 24, 2024, the Indian stock market reached new heights with both the BSE Sensex and NSE Nifty 50 closing at record levels. The BSE Sensex surged by over 2,500 points, ending at 76,309.35, while the Nifty 50 rose to 23,260. This impressive performance was underpinned by optimism surrounding the upcoming general elections and robust economic data.
Drivers of Market Rally
Several factors contributed to the bullish trend observed on June 24:
- Election Optimism: Investors showed confidence in the incumbent government’s chances of winning the 2024 elections, as indicated by exit polls. This political stability is seen as favorable for continued economic reforms and policy continuity (mint) (BSE SENSEX Updates).
- Strong GDP Growth: The National Statistical Office reported an 8.2% GDP growth for the fiscal year 2023-24, significantly exceeding expectations and boosting market sentiment (mint).
Sector Performances
The day’s gains were broad-based, with significant contributions from various sectors:
- Public Sector Banks: Led the rally with a 7% increase, driven by strong financial results and positive future outlooks.
- Oil & Gas: This sector saw a 5.29% rise, supported by higher global oil prices and robust demand.
- Real Estate: Benefited from increased investments and positive market conditions, climbing by 4% (mint).
Technical Analysis and Future Outlook
Despite the overall positive trend, technical analysts noted the formation of bearish patterns in the Nifty 50, suggesting potential volatility. The index has been fluctuating between 23,300 and 23,600, and a decisive move in either direction could signal the next market trend. Analysts recommend caution, particularly around key support levels, to avoid short-term corrections (mint).
The Bank Nifty also exhibited mixed results, closing slightly lower but maintaining a strong weekly gain streak. The resistance level at 52,000 is crucial for future gains, with 51,000 acting as a significant support point (mint).
Conclusion
June 24, 2024, was a landmark day for the Indian stock market, reflecting investor optimism and strong economic fundamentals. While the overall outlook remains positive, market participants are advised to stay cautious due to potential volatility and technical indicators pointing towards possible corrections.
JSW Energy
JSW Energy stock reached a record high of ₹740 per share, climbing 2.25% in early trading. This increase followed the announcement that its subsidiary, JSW Neo Energy Limited, secured a Letter of Award (LoA) from the Solar Energy Corporation of India Limited (SECI) to develop a 300 MW ISTS-connected wind-solar hybrid power project. This award was part of a competitive bid for 1,200 MW ISTS-connected wind-solar hybrid projects (Tranche VIII).
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