Share Market Today: Tuesday was a very positive for the Indian stock market. The market registered a strong comeback after a huge fall in the previous trading. The BSE Sensex gained 779.85 points to reach 76,146.02. At the same time, the NSE Nifty50 gained 198.15 points, trading at 23,027.50. Although the broader market index continued to decline, it did not have much impact on the main index. The improvement seen in the market today is mainly due to the banking and financial sectors.
The banking and financial sector increased the speed of the market
Banking and financial stocks were the main reasons for the rise in the Indian stock market. Big banking stocks like HDFC Bank, ICICI, and Axis Bank performed strongly. Also, financial institutions like Bajaj Finance and Bajaj Finserv supported the market. The impact of the boom in the banking sector was also seen on the Nifty Bank and Nifty Financial Services indices, where gains of 2% and more were recorded respectively.
RBI’s actions and market expectations
The Reserve Bank of India (RBI) took some big steps to increase liquidity in the market. Under these measures, an increase of about ₹ 1.5 lakh crore of cash was announced. These measures not only strengthened the banking sector but also brought about improvement in the real estate sector. The Nifty Realty Index registered a gain of 1.8% today. Experts say that after this announcement of RBI, the possibility of a reduction in interest rates in February has also increased, due to which home loans and other loans can become cheaper.
Focus on budget amid instability
Although the market saw improvement today, volatility persists. The market is eyeing the upcoming Union Budget 2025. This budget, to be presented on February 1, is expected to make many important announcements in the real estate, infrastructure, and banking sectors. Apart from this, the Federal Reserve meeting to be held on January 28-29 will also decide the direction of the market.
Experts believe that the market is currently in an oversold situation and there is a possibility of further upside. RBI’s liquidity-enhancing measures and possible interest rate cuts may lead to further improvement in the market.
Conclusion
Today was a positive day for the Indian stock market. The banking and financial sector strengthened the market, while RBI’s liquidity measures reassured investors. Although volatility remains in the market, investors are keeping an eye on the upcoming budget and global developments. It will be interesting to see which direction the market moves in the coming days.
