After Modi Sarkar 2.0 resumed office, the share market went northward on Friday morning. The benchmark BSE Sensex crossed the 40,000 mark, rallying nearly 300 points in early trade on Friday led by gains in banking and IT stocks amid positive domestic cues and strong foreign fund inflow. After hitting a high of 40,119.81, the 30-share index was trading 271.12 points, or 0.68 per cent, higher at 40,103.09. In similar movement, the broader NSE Nifty crossed the 12,000 level, and was trading 81.20 points, or 0.68 per cent, higher at 12,027.10.
Morgan Stanley said that post elections outcome, focus will now shift to growth. According to the international brokerage, Sensex is all set to reach 45,000 level, a 10% upside from the current level. Nifty too is seen hitting 13,500 by June 2020.
Sunil Sharma, Chief Investment Officer, Sanctum Wealth Management said, “Indian markets seem to be defying gravity as they continue to rally. The positive sentiments are driven by investors conviction in current government’s ability to drive strong growth.”
In the previous session on Thursday, the Sensex ended 329.92 points, or 0.84 per cent, higher at 39,831.97, its fresh-closing high, while the NSE Nifty settled at a new closing peak of 11,945.90, gaining 84.80 points or 0.71 per cent. Meanwhile, foreign institutional investors (FIIs) bought equities worth Rs 1,664.74 crore on Thursday, while domestic institutional investors (DIIs) sold shares to the tune of Rs 1,122.60 crore, provisional data available with stock exchanges showed.