Leader Online Desk: Today (June 6) the bullishness of the stock market continued for the second day in a row after the results of the Lok Sabha elections. By the close of trade, the Nifty rose 201 points to 22,821 and the Sensex closed 692 points to 75,074. Bank Nifty rose 237 points to close at 49,291. Mid and small cap indices also saw strong buying today, with government companies, which had lagged in the last two days, making a comeback with buying again today. Shares in the IT and realty sectors registered the highest gains.
What happened in the stock market today?
⦁ Stock market bullish continued for the second day in a row
⦁ Second consecutive day of buying in mid and small cap indices
⦁ Strong procurement in government companies
Sensex jumps 692.27 points to settle at 75,074.51; Nifty climbed 201.05 points to 22,821.40
— Press Trust of India (@PTI_News) June 6, 2024
After closing at 74,382 on Wednesday, the Sensex was seen trading up 400.42 points at 74,744.30 at 9.47 am today, while the Nifty was up 122.31 (0.54%) points at 22,742.742. The rupee was trading 3 paise higher at Rs 83.41 against the dollar in early trade. The midcap index gained 800 points. Shares of BHEL are registering a gain of 8%. Besides ONGC, Adani Ports, Bajaj Finance, Bajaj Finserv, BPCL are reporting profits. Shares of HUL, Britannia were in losses.
'Ya' shares experienced a boom
On the Nifty, HCL Technologies, Shriram Finance, SBI Life Insurance, Tech Mahindra and SBI closed in the green as the major gainers. Barring Pharma and FMCG, all other sectoral indices closed in the green with PSU Bank, IT, Realty gaining 3-5 percent. While the BSE midcap index rose by 2 percent and the smallcap index by 3 percent. NTPC, SBI and Power Grid gained 2.5 to 5 percent in the Sensex in early trade. Tech Mahindra, Tata Steel, Wipro and HCL Tech also opened higher, while Hindalco Industries, HUL, Asian Paints, Hero MotoCorp and Nestle closed the major decliners.
Big rise in SBI shares
The rise in shares of government companies continues. Shares of government banks, railways, defense materials have increased by 10 percent. Shares of State Bank of India, the country's largest public sector bank, jumped more than 5 percent today. As soon as there was an indication of the formation of the BJP-led NDA government, the buying of 'SBI' shares increased. Today he was among the top gainers of Nifty 50.
Shares of Chandrababu Naidu's 'Heritage Food' rise significantly
The results of the Lok Sabha elections are reflected in the stock market. On June 4, the stock market experienced a huge fall on the results day. After this, the next day, when there were indications that the BJP-led NDA government would come and Telugu Desam Party chief Chandrababu Naidu made it clear that he would stay with the NDA, the market rallied. Now today Chandrababu's Heritage Group shares have seen a significant rise in the past few days.
Founded by Chandrababu Naidu in 1992, Heritage Group operates under its flagship company Heritage Foods in three business segments: Dairy, Retail and Agriculture. Nara Lokesh, son of N Chandrababu Naidu, is one of the promoters of Heritage Foods. Shares of Heritage Foods rose over 10 percent to Rs 601.60 today, raising the company's market capitalization to over Rs 5,500 crore. The stock settled at Rs 546.95 on Monday, up 20 percent on the day.
Heritage Foods has introduced Pure Ghee Ladoo products under the brand name 'Truly Good'. The Andhra Pradesh-based food company's subsidiary, Heritage Nutrivate Limited (HNL), also operates in the animal feed business. In the past month, shares of Heritage Foods have gained more than 89 percent. Investor wealth has almost doubled in the past year. So far in the year 2024, the stock has seen a remarkable increase of more than 150%, nearly tripling in value over the past year.
