Wild rally in stock market before Diwali; Sensex jumps 1400 points

An unprecedented and vigorous rally has been witnessed in the Indian stock market ahead of the holy festival of Diwali. Due to global political and economic shifts, the market has seen a massive surge, resulting in a grand increase of more than 1400 points in the Sensex and more than 300 points in the Nifty. According to a report by ABP Asmita, this rally has led to a massive increase of ₹7.6 lakh crore in investor wealth in just a single day, breathing new life into the country's economic environment.

Two major global reasons are primarily responsible for this wild rally in the stock market. The first reason is the change in US politics, where Donald Trump has faced an election loss. The second important reason is the significant decline in crude oil prices in the international market. Brent crude prices have fallen below $100, which has had a positive impact on the market. According to a report by Business Standard, the resurgence of Democrats in the US Congress has raised hopes for a swift resolution to the US-Iran conflict, leading to a decrease in oil prices and a subsequent surge in the Nifty-50 and Sensex.

Differences in market conditions have been observed on a global scale. While the Indian market is witnessing a rally, the KOSPI has recorded a 4% decline. However, in the context of Muhurat trading in the Indian market, the Sensex and Nifty have closed at higher levels in 8 out of the last 10 sessions. This strong recovery and bullish atmosphere are generating immense enthusiasm among investors.

According to economic experts, low crude oil prices and changing global factors will prove extremely beneficial for the Indian economy in the coming period. During the Diwali festive season, there are strong possibilities that such a market rally will continue for a long time and provide better returns to investors. This rally has strengthened the market sentiment by significantly increasing the wealth of investors in listed companies.

Along with this market surge, fluctuations have also been seen in other sectors. Due to the Dhanteras and Diwali festivals, prices of gold and silver have also seen a spike, with gold increasing by ₹4,800 and silver by ₹9,000. On the other hand, the impact of inflation is also being seen during the festivals, with sugar prices reaching ₹70. In the banking sector, 4 banks, including Kotak and Axis, have increased FD interest rates up to 8.60%. All these economic changes are linked to the changing equations of the market.