Indian stock market continues to rise, Sensex has risen 4.60 percent in the last one month, know the reason

Stock Market Closing Bell: The Indian stock market is witnessing a continuous upward trend. Sensex and Nifty are setting new record highs and moving ahead every day. In the last one month, Sensex has risen by 4.60 percent and crossed the historic level of 80000. Nifty is also rapidly moving towards 25000.

On May 3, the Sensex was at 76468 points, today it closed at 79986.80, up 3518 points. This shows a jump of 545.35 points from yesterday's close. Nifty also closed at 24286.50, up 162.65 points after reaching a record high of 24309.15. With an increase of Rs 3.3 lakh crore in investors' capital, today the market capitalization of BSE reached Rs 445.49 lakh crore.

Factors responsible for the bullish trend in the stock market

Banking-Fi. Support for uptrend in stocks

Gross NPAs of Indian banks fell to a 12-year low, while improving balance sheets led to a huge rally in stocks of the banking and financial services sector. Market experts are indicating that this trend will continue for some time to come.

Decline in inflation on the global front, impact of reduction in interest rates

At the global level, the world's superpower, the US Fed Reserve, has indicated that the inflation rate will stabilize at 2 percent by the end of the calendar year 2025. The positive effects of which have been seen. Along with this, experts are also expressing hope that the Fed will start reducing interest rates from this September.

A positive attitude towards budgeting

The new government may make positive announcements for all sectors in the Budget 2024-25 to be announced in the last week of this month. This includes things like tax reforms focusing on the middle class, accelerating its plans in the infrastructure sector and expanding the PLI scheme.

The economic situation has strengthened

The country's economic condition is getting stronger. All economic factors are positive, including strong GST collections in June, manufacturing PMI index at 58.3 in June and corporates expected to post attractive results in the June quarter. RBI has indicated strong GDP growth of 7.3 per cent in the June quarter.