Dalal-Street Wins Big, Experts See 61,000 By Year End

The benchmark indices and the broader markets surged to their all-time highs during the intraday session on Friday, June 11. The BSE Sensex marked its high at 52,641.53, Nifty-50 at 15,835.55, while the BSE Midcap and Smallcap indices reached 23,045 and 25,249, respectively.

The BSE Sensex closed higher by 174.29 points at 52,474.76, while the Nifty-50 index closed up by 61.60 points at 15,799.35. The 30-share pack Sensex marked gains in 15 scrips at the market closing with shares of Dr. Reddy's Labs being securing the top place, surging over three per cent.

The IT stocks witnessed strong buying interest during the intraday trade which lifted the Nifty IT index higher by 1.5 per cent. Shares of L&T Infotech gained over three per cent, while those of Tech Mahindra, Infosys, and HCL Tech gained over a per cent each.

In the overall market breadth, 1744 shares advanced, 1368 shares declined, and 138 shares were unchanged.

Market experts mainly attributed the gains to a decline in Covid-19 cases, a fall in the U.S 10-year yields, growth in retail investors, and the pace in the vaccination. Analysts are bullish on the sentiment and have predicted that the BSE index is likely to hit the 61,000 mark by the end of the year if the bull run sustains.

"Our target for Sensex is 60,000 by December 2021," said Amar Ambani of Yes Securities.

On the other hand, Deepak Jasani of HDFC Securities feels that the surge in the market has much to do with the growth in the number of retail investors as the numbers have reached seven crore on June 7, 2021.

"Increased influx of retail investors post COVID-19 is one of the reasons for the rally in the markets," said Jasani.

Both BSE Sensex and Nifty-50 have surged nearly 10 per cent and 13 per cent, respectively in the year-to-date period. The Indian equity markets have also been among the top performers globally this year.