The joyride to the upside continued in the stock market for the fourth straight day, making investors richer by over Rs 3 lakh crore. Sensex closed at record highs at 44,180 on Wednesday, 227 points higher from its previous day's close. The headline index has been rallying for the past four trading sessions, gaining nearly 883 points and taking the total market capitalisation of all BSE-listed firms to a record high of Rs 171.4 lakh crore from Rs 168.3 lakh crore, during this period. Meanwhile, the index has fiercely risen over 11 per cent this month, so far.
At least 172 stocks hit their 52-week highs on Wednesday that include companies such as HDFC Bank, Escorts, Ashok Leyland and Mahindra & Mahindra. Nearly one-fourth of them are at their all-time high prices.
Markets currently are witnessing strong flows from foreign portfolio investors (FPIs) with investments already surpassing the October levels. They have pumped in Rs 36,786 crore so far, during this month, against Rs 19,541 crore investments during October. In September, when the 30-share index lost a little over 1 per cent, FPIs pulled out Rs 7,783 crore.
"The overall structure of the market remains positive as the reduction of the spread of the virus has coincided with an uptick in economic activity, demand recovery during the festive season along with possibility of vaccine development soon. However, rising COVID-19 cases in Delhi is a concern and needs to be watched out," said Siddhartha Khemka, Head - Retail Research, Motilal Oswal Financial Services Ltd.