Bulls on Parade: Sensex Sprints 1,200 Points, Nifty Hits 25K Milestone

Indian equity markets made a magnificent comeback on Thursday, May 15, with the Sensex rising 1,200 points and the Nifty regaining the 25,000 point mark for the first time after October 2024. The Sensex rose to 82,530.74, or 1.48 percent higher, while the Nifty moved up 395 points, or 1.6 percent, to close at 25,062.10.

The rally was wide-based, driven by strong buying in major sectors-particularly metals, autos, information technology, and realty. Major indexers such as Tata Motors, HCL Technologies, Reliance Industries, ICICI Bank, and Infosys spearheaded the move. Most noteworthy was Tata Motors surging more than 4 percent, with Hero MotoCorp rising 6 percent following the launch of an aggressive growth plan.

Market mood was boosted significantly by fresh hopes of a possible India-US trade agreement. US President Donald Trump's statement that India had proposed a trade deal with no tariffs on US goods eased trade tensions and led to aggressive buying. Also, de-escalation of India-Pakistan tensions and stable fourth-quarter results further supported investor sentiment.

The rally was not restricted to large caps. Mid- and small-cap indices also participated in the surge, with the Nifty Midcap 100 touching a four-month high and the Nifty Smallcap 100 reaching a three-month high. Sectoral indices made the screen glow, with Nifty Auto and Realty rising almost 2 percent each, and Nifty Metal gaining 1.74 percent.

Wealth of investors surged by more than Rs 5 lakh crore in a single session, as BSE market capitalization increased to almost Rs 440 lakh crore. India VIX, a measure of volatility in the markets, fell close to 2 percent, reflecting lower short-term uncertainty.

The swift turnabout in the latter half of the trading session brought a dramatic conclusion to a 141-session sojourn awaiting the Nifty to breach the level of 25,000. Although optimism is rampant, experts point out that risks of volatility still persist and foreign cues will continue to influence market direction.

Sources: Financial Express, NewsOnAir, Moneycontrol, Business Today, Business Standard, Times of India