The domestic stock market has once again returned to the path of rally. During the past week, major domestic indices like BSE Sensex and NSE Nifty saw a good rise. Thus, the market remained in profit for the second consecutive week. Before that, after the rally was halted, the market had fallen for two consecutive weeks.
There was a slight increase on the last day of the week
On the last day of the week in the domestic stock market, on August 23, the BSE Sensex closed at 81,086.21 points with a marginal gain of 33.02 points (0.041%). During the week, the Sensex gained about 650 points (0.80%). On the other hand, the NSE Nifty index closed at 24,823.15 points on Friday with a gain of 11.65 points (0.047%). In the last seven days, the Sensex and Nifty have gained more than 3-3%.
Market still so far below lifetime high
Despite being in profit for two consecutive weeks and rising more than 3-3 percent in the last 7 trading days, the domestic market is still below its high level. The lifetime high level of BSE Sensex is around 82,130 points, while the all-time high level of Nifty is 25,078 points.
GDP figures will come on Friday
The week starting from 26 August is going to be sensitive for the market. GDP figures are going to be released during the week. GDP figures for the June quarter will be released on Friday, 30 August. Monthly expiry in the derivative segment i.e. futures and options will also have an impact on the market. Market activities are going to be brisk during the week. 8 IPOs including 2 mainboards are being launched in the market in the next 5 days, while 8 new shares are also going to be listed.
Support from expectation of interest rate cut
The expectation of reduction in interest rates is being considered a big factor for the current rally in the stock market. The US Central Bank Federal Reserve has indicated to reduce interest rates from September. The European Central Bank is also preparing to reduce interest rates. The market is expected to get a boost due to reduction in interest rates.
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Also read: 8 IPOs including Ecos Mobility and Premier Energies are opening this week, 8 new shares will also be listed
