Sensex, Nifty Touch All-Time High day after BJP poll win in 3 states

New Delhi:

Indian stocks hit new highs on Monday, driven by financials and energy shares, as state election results added to market momentum from strong macroeconomic data and eased global interest rate expectations.

The NSE Nifty 50 index rose as much as 1.65% to 20,602.50 points, hitting a record high for the second consecutive session. The S&P BSE Sensex rose 1.64% to a record high of 68,587.82, at 9:51 AM IST.

Financial services rose 1.8% and energy stocks advanced 2%, leading sector gains.

Index heavyweights Reliance Industries, ICICI Bank, HDFC Bank rose between 1% and 3%.

Small and mid-caps rose around 1% each and also hit new records.

The ruling Bharatiya Janata Party (BJP) secured key victories in three of the four state assembly elections, results showed over the weekend.

“The state election result will lead to greater confidence in the continuity of the BJP government at the Centre, which will drive markets higher,” Anjali Verma and Ravi Kumar, research analysts at PhillipCapital said in a note.

The Nifty had hit an all-time high on Friday, helped by strong domestic macroeconomic data, including quarterly growth and monthly factory activity.

“The market has already started the pre-election rally for May 2024 from November, now this rally will start after the outcome of the state elections,” said Sunil Nyati, Managing Director of Swatika Investmart.

Nifty and Sensex posted their best month of 2023 in November, helped by return of foreign inflows on improved global interest rate outlook.

Adani group shares rose between 3% and 9%, topping gains in several sector indices, including metals and energy.

(This story has not been edited by NDTV staff and is automatically generated from a syndicated feed.)

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