2023 mkt bull run makes investors Rs 82-trn richer

In 2023, the BSE benchmark jumped 11,399.52 points or 18.73 per cent, and the Nifty climbed 3,626.1 points or 20 per cent

Cheers to a Golden Year!

• 2023 saw both indices surge, with Nifty up 20%
• Sensex, Nifty decline on last trading day
• SBI, Infosys, Titan among major laggards on Friday
• Tata Motors, Nestle, HUL among top gainers on last trading day of 2023
• Weekly gains: Sensex up 1.59%, Nifty up 1.78%.

Mumbai: Equity indices Sensex and Nifty declined on the last trading day of 2023 as investors preferred profit-taking after the recent sharp rally, wrapping up a record-setting year with benchmarks surging by up to 20 per cent.

After a five-day winning run, selling pressure emerged in energy, banking and IT counters on Friday, which dragged indices lower, traders said. The 30-share BSE Sensex fell 170.12 points or 0.23 per cent to settle at 72,240.26 after a weak beginning to the trade. During the day, it dropped 327.74 points or 0.45 per cent to 72,082.64.

The wider gauge Nifty declined 47.30 points or 0.22 per cent to settle at 21,731.40. In intra-day trade, the index slipped 101.8 points or 0.46 per cent to 21,676.90. In 2023, the BSE benchmark jumped 11,399.52 points or 18.73 per cent, and the Nifty climbed 3,626.1 points or 20 per cent. In a memorable year for the equity market, Dalal Street investors added a whopping Rs 81.90 lakh crore to their wealth in 2023 as a raft of positive factors powered a stellar rally in stocks.

Experts said India’s strong macroeconomic fundamentals, political stability owing to the BJP’s success in recent elections in three significant states, optimistic corporate earnings outlook, signals from the US Federal Reserve about three prospective rate cuts next year and heavy retail investor participation played a major role in fuelling the stock market rally in 2023.

Among the Sensex firms, State Bank of India, Infosys, Titan, Tech Mahindra, IndusInd Bank, NTPC, ICICI Bank, Power Grid, Reliance Industries and Kotak Mahindra Bank were the major laggards. On the other hand, Tata Motors, Nestle, Hindustan Unilever, Tata Steel, Bajaj Finance and UltraTech Cement were among the gainers.

“The market witnessed mild profit booking on the last trading day of the year. The euphoria is expected to continue during the start of the next year on account of the exuberance of rate cuts and the drop in bond yields. Oil prices, on the other hand, fell by 10 per cent during the year, which could ease inflationary pressure and support the operating performance of the corporates,” said Vinod Nair, Head of Research, Geojit Financial Services.

We feel that though the outlook on broader indexes is moderate in the short to medium term, the large caps will maintain their vibrancy due to strong earnings growth and in anticipation of the continuation of premium valuation, he added.

In the broader market, the BSE midcap gauge climbed 0.85 per cent, while the smallcap gauge jumped 0.69 per cent. Among the indices, oil & gas fell by 1.10 per cent, bankex went lower by 0.53 per cent, IT declined by 0.46 per cent, teck dipped by 0.38 per cent, consumer durables (0.07 per cent) and financial services (0.05 per cent). Telecommunication jumped 2.84 per cent, auto climbed 1.17 per cent, services (1.06 per cent), FMCG (0.86 per cent) and consumer discretionary (0.77 per cent). On the weekly front, the BSE benchmark jumped 1,133.3 points or 1.59 per cent, and the Nifty rallied 382 points or 1.78 per cent.