The fastest 5,000-point rally for the Sensex was nearly three years ago (September 24, 2021) when the index hit an intraday high of 60,333 in a span of just 28 trading days, rising from the 55,000 mark. On the other hand, it took 4,357 trading days for the Sensex to hit the 5,000 mark for the first time ever, shows data. (See table)
Winners and laggards
The last 5,000-point gain in the Sensex – from 75,000 mark hit on April 9, 2024 till July 3, 2024 – has been led by a diverse set of stocks. Mahindra & Mahindra (M&M) has been the top gainer that surged over 37 per cent during this period to around Rs 2900 levels, ACE Equity data shows.
Ultratech Cement, Bharti Airtel, Power Grid Corporation of India (PGCIL), Tech Mahindra and Axis Bank were some of the other gainers.
On the other hand, IndusInd Bank, Titan Company, Bajaj Finserv, Maruti Suzuki, Sun Pharma, Larsen & Toubro (L&T) and HCL Technologies were some of the laggards during this period that slipped up to 8 per cent, data shows.
The road ahead
In the short-term, however, markets are likely to take cues from the upcoming earnings season and the budget back home, analysts said.
The government, they feel , is unlikely to be too populist in its policies. Despite the election disappointment, analysts at Nomura, for instance, expect fiscal prudence. Low core inflation and high real rates, they feel, should support an easing cycle from October.
Analysts at Motilal Oswal Securities, too, we believe that while tax estimates may not change in the upcoming budget in July, record-high RBI dividends could help the government to spend an additional amount of about Rs 1.1 trillion this year [versus budget estimates], while reducing the fiscal deficit target to 5 per cent of GDP in FY25.
First Published: Jul 03 2024 | 11:10 AM IST
