Higher earnings hope powers Sensex run; analysts expect it to touch 45,000

The brokerage expects the Sensex to climb to 45,000 - 15% upside from current levels - by June next year

Optimism over economic recovery, sparked by the corporation tax rate cut on Friday, helped the domestic markets extend gains on Monday, with the Sensex logging its second consecutive four-digit gain.

The benchmark index rose 1,075 points, or 2.83 per cent, to end at a two-month high of 39,090. The Nifty closed at 11,600.2, with a gain of 326 points, or 2.9 per cent.

Investor sentiment has taken a dramatic turn from bearish to bullish following the government’s move to lower taxes.

Both the indices last week had dropped to their lowest levels since February. However, with the stellar gains made