Benchmark Sensex has zoomed over 87% from its March 2020 low till date, marking its highest rise ever in nearly a year. The index, which crashed to a four-year low of 25,981 on March 23, rose to an all-time high of 48,616 today logging a gain of 87.12% during the period.
Similarly, Nifty has clocked a gain of 87.17% from its March 23 low of 7,610. The 50-stock index hit an all time high of 14,244 in trade today.
The rise in benchmark indices since March-end last year has made investors richer by Rs 90.59 lakh crore. Market cap on BSE crashed to Rs 101.86 lakh crore on March 23.
Market cap at the end of trade on BSE stood at Rs 192.45 lakh crore.
Sensex and Nifty hit four-year lows on March 23 after rising number of cases in India and the resultant lockdown in a majority of states took a heavy toll on the financial markets. While Sensex closed 3,934 points lower at 25,981, Nifty ended 1,135 points lower at 7,610.
During the session, Sensex hit an intraday low of 25,880 and Nifty fell to 7,583. All Sensex and Nifty stocks closed in the red. In early trade, trading on BSE and NSE had to be halted for 45 minutes after Sensex hit 10 per cent lower circuit.
The crash in benchmark indices came after the number of infected cases from coronavirus zoomed to 415 in India. The government imposing lockdown in 75 districts to mitigate the threat of rising coronavirus cases also weakened market sentiment. However, the market gradually recovered on the back of quality stocks available at very attractive valuations.
A host of factors such as manufacturing of coronavirus vaccines, results of US presidential election, hopes of economic recovery, expectations of additional stimulus in the US and consistent FII inflows in the last two months have led Sensex and Nifty to record highs in the last two months.
FIIs infused Rs 65,246 crore into Indian equities in 2020.
In last two months of 2020, they poured in a record Rs 1.13 lakh crore, equalling the highest ever inflows clocked in 2013 into Indian equity market. In 2019, FIIs infused Rs 1 lakh crore-the second highest ever inflows in the history.
The fund infusion also took benchmark indices to record in almost all trading sessions of last two months.
Approval to coronavirus vaccines in the UK also buoyed global investor sentiment on prospects of recovery in the world economy.
In today's trading session, Sensex hit record high of 48,616 and Nifty rose to a record of 14,244. Later, reversing ten straight sessions of gains, Sensex fell 263 points to 48,174 and Nifty closed 53 points lower at 14,146.