Great jump of 300 points in Sensex, Nifty crosses 24350; Kotak Bank returns to the market with a rise of 2%; Sensex surges impressively by 300 points, Nifty crosses 24,350; Market sentiment revived by a 2% rise in Kotak Bank.

The Indian stock market has once again shown its strong trend and started trading in the green. In the initial and middle sessions of the week, Dalal Street is witnessing tremendous activity due to positive signals from global markets and buying by domestic institutional investors. Bombay Stock Exchange’s main index Sensex was seen trading with a gain of more than 300 points in early trade itself, while National Stock Exchange’s Nifty also managed to cross the important psychological level of 24350 amid investor enthusiasm. Market experts say that the market has got a big support due to heavy buying in selected leading stocks and strong buying in banking sector shares. Once again, risk appetite seems to be increasing among domestic and foreign investors, the direct impact of which is clearly being felt on the movement of indices.

Sharp rise in shares of Kotak Bank and dominance of banking sector

In today’s trading, shares of banking and financial services sector have played the most important role in handling the market. A strong rise of about 2 percent was recorded in the shares of the leading private sector lender Kotak Mahindra Bank, due to which happiness is clearly visible on the faces of the investors. Experts believe that due to the strong quarterly results of the bank and continuous buying by institutional investors, the confidence of investors in this stock is continuously strengthening. Apart from Kotak Bank, significant buying was also seen in other banking stocks like ICICI Bank, HDFC Bank and Axis Bank. This strength in banking shares had a direct impact on the broader market and the benchmark index, which helped Nifty to remain above 24350.

Strong hold of domestic market amid mixed signals from global markets

Despite mixed and sluggish signals from major stock markets around the world, the Indian stock market has given a brilliant display of its domestic strength. Despite the ups and downs in the US market and flat movement of Asian markets, Indian investors have insisted on strategic buying instead of panicking. Selective buying has also been recorded in shares of automobile, IT, pharma and metal sectors, due to which the market sentiment remains completely positive. Experts also believe that due to the strong infrastructure of the Indian economy and the earnings growth of the corporate sector, the confidence of foreign investors (FIIs) is gradually returning towards the domestic equity market, which is being considered a very good sign for the coming days.

Way forward for investors and investment strategies of market experts

At present, the way Sensex and Nifty are touching new milestones, it is natural for retail investors to question whether this bullish trend in the market will continue further or whether a period of profit booking will begin. Market analysts suggest that investors should avoid any haste and focus only on stocks with strong fundamentals, good earnings and large-cap companies. After the huge boom in mid-cap and small-cap segments, it is now being advised to invest in selected stocks only. If you are investing for the long term, you can look at every downturn as a buying opportunity, provided your portfolio is well diversified.