Stock market rises by 555 points, understand in 10 points how investors earned 5 lakh crores

Business News: After a continuous decline last week, the Indian stock market once again showed its shine on the first day of the month. Sensex and Nifty 50 closed with good gains on Monday, 1 September, putting an end to the three-session decline due to buying in various sectors. The Bombay Stock Exchange's key index Sensex closed at 80,364.49 points with a gain of 555 points or 0.70 percent, while Nifty 50 closed at 24,625.05 with a gain of 198 points or 0.81 percent.

The mid and small-cap segments performed better than both the indices. The BSE midcap index rose by 1.64 percent, while the smallcap index rose by 1.49 percent. If we talk about the benefits of investors, an increase of more than Rs 5 lakh crore was seen in a single session. The market cap of BSE increased from Rs 444 lakh crore in the previous session to about Rs 449 lakh crore. Let us try to explain to you about the rise in the stock market in 10 points.

GDP Growth Boosts Investor Confidence

The sharp rise in the Indian stock market came after the first quarter GDP growth was reported at 7.8 percent, higher than market expectations. This boosted investors’ confidence in the resilience of the economy despite global uncertainties. At the same time, hopes that the upcoming GST Council meeting would rationalize tax structures further lifted market sentiment, encouraging discretionary consumption and positive momentum across sectors.

Nifty Sees Mixed Stock Movement

On Monday, 42 stocks in the Nifty 50 index closed in the green. Bajaj Auto surged 4.01 percent, Mahindra & Mahindra gained 3.52 percent, and Hero MotoCorp rose 3.18 percent, leading the top gainers. Meanwhile, Sun Pharma dropped 1.91 percent, ITC declined 1.03 percent, and Hindustan Unilever slipped 0.56 percent. Nifty Auto and Consumer Durables recorded the strongest growth, while Media and Pharma indices closed slightly lower.

BSE Records Sharp Market Activity

On the BSE, out of 4,380 stocks traded, 2,795 advanced, 1,391 declined, and 194 remained unchanged. A total of 129 companies hit fresh 52-week highs, including TVS Motor, Eicher Motors, and UNO Minda. In contrast, 113 firms like United Breweries, Five Star Business Finance, and Deepak Nitrite fell to new 52-week lows. According to Kotak Securities, Nifty may climb to 24,800, though a fall below 24,500 could trigger profit booking and long-position exits.