Mumbai: Tuesday marked exactly one year since the biggest sensex crash of 3,935 points to 25,981 points by close of trade on March 23, 2020. The next day, the sensex sank further to an intraday low of 25,639 points. But since that nadir, the index has rallied nearly 95% to its Tuesday close of 50,051 points, while investors’ wealth has more than doubled to Rs 208 lakh crore now.
A deluge of fund infusion by central banks of all the large economies into their respective markets, global investors’ search for good stocks at attractive prices and the rollout of Covid vaccines across the world helped this rally, market players and fund managers said. A strong revival in revenues and profits by India Inc also supported the domestic markets, they said.
On March 23 last year, after crashing over 4,000 points in intraday trades, the sensex had closed down by a record-breaking 3,935 points, or 13%. Since then, the sensex has embarked on one of the strongest rallies to touch an all-time high of 52,517 points intraday on February 16. The last phase of the rally was helped by a host of Budget proposals that raised hopes of investors about a strong revival of the Indian economy.
During the past one year, foreign funds have net pumped in nearly Rs 1 lakh crore, or about $13.5 billion, into Indian stocks, data from CDSL showed. According to LKP Securities head (research) S Ranganathan, bulls have come a long way exactly one year after markets made a low the same day in 2020.
And during this one year, some stocks from several sectors have seen their prices rise manifold.
Data from the BSE showed that among the sensex stocks, RIL has more than doubled during the same period, which is also the stock that added the most to the index. Some of the other stocks that doubled during the same period were
, M&M, Infosys and Axis Bank. In the broader market, during the past year, pharma, software and banking stocks led the gainers initially, while in the past few months metal stocks made a strong revival.