By Admin 
Reasons Behind Stock Market Rise: A tremendous rise is being seen in the Indian stock market on Monday, 23 February. According to the data, the Sensex had jumped more than 600 points in early trading. At the same time, Nifty 50 had crossed 25,750 level. Investors made purchases on the trading day. Let us know about the reasons behind this boom…
1. Market got support after news from America
An important news at the global level has strengthened the sentiment in the domestic market. The Supreme Court has decided to cancel the import tariff imposed by US President Donald Trump. After which there was excitement in the American market including Europe. Experts believe that this step has given a positive signal to sectors related to international demand and supply chain.
However, later Trump has announced to increase the tariff from 10 percent to 15 percent. Still, investors remain confident in the domestic market. The effect of this sentiment was visible in the market and shares of textile and export related companies jumped by 2 to 8 percent.
2. Impact of global market boom
The rise in global markets has supported the Indian domestic market. Asia’s Kospi jumped 1.5 percent. Also, there was a rise of about 1 percent in the American market on Friday’s trading day. However, business is closed today due to holidays in China and Japan.
3. Fall in crude oil prices
Crude oil prices remained soft at the beginning of the week. The possibility of nuclear talks between America and Iran reaching the third round has shown signs of reducing geopolitical tensions. Due to which global uncertainty is expected to reduce.
Meanwhile, Brent crude futures fell 75 cents or 1.05 percent to $ 71.01 per barrel. According to experts, this weakness in crude oil prices is considered a relief for big importing countries like India. Due to low price of crude oil, the pressure on inflation is expected to reduce.
Disclaimer: (The information provided here is being given for information only. It is important to mention here that investment in the market is subject to market risks. Always take expert advice before investing money as an investor. ABPLive.com never advises anyone to invest money here.)
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