It looks like there is no stopping the bulls as the stock market continued to scale record high on Friday after the monetary policy committee (MPC) of the Reserve Bank of India (RBI) raised GDP forecast for the fiscal year 2020-21 (FY21). Further, assurance of ample liquidity to the stressed sectors by the central bank and strong global cues, too, boosted investor sentiment.
The RBI has projected real GDP for the current financial year to shrink 7.5 per cent from an earlier expectation of a 9.5 per cent contraction.
Following the development, the benchmark S&P BSE Sensex hit the crucial 45,000-mark for the first time ever and ended at the record level of 45,080, up 447 points, or 1 per cent.
ICICI Bank ended as the top gainer on the index while Reliance Industries was the biggest loser.
Of 30 constituents, 25 advanced and the rest 5 declined. NSE's Nifty50 index, too, ended at a record level of 13,259, up 125 points, or 0.95 per cent during the trade. On a weekly basis, both Sensex and Nifty added 2 per cent each.
From their March 2020 lows, it has mostly been a one-way street for the Indian equity markets as the S&P BSE Sensex has rallied over 75 per cent since then.
So, what lies ahead for the markets? Does the current market rally have more legs? In this podcast, Siddhartha Khemka, Head - Retail Research at Motilal Oswal Financial Services answers all of them and more