In the last one year journey of Indian stock markets, equities have seen many historic moments such as the benchmark Sensex crossing 30,000 mark for the first time and the Nifty 50 index breaching the five-digit level of 10,000. In the last one year of stock market trading, from the Independence Day 2017 to Independence Day 2018, the S&P BSE Sensex index has returned little more than 19% while the wider share indicator Nifty has logged a gain of 15%.
Surprisingly, the headline index Sensex has outperformed all the major stock indices of developed equity markets except the Nasdaq Composite index (1-year return: 23.5%). Other major stock indices such as NYSE’s Dow Jones Industrial Average has gained 14.5%, Tokyo’s Nikkei 225 has advanced 13.3%, Hong Kong’s Hang Seng has added 2.1% while Seoul’s Kospi has dropped 3.8% and China’s Shanghai Composite has depreciated by as much as 14.5%.
The 19% and 15% rise in Sensex and Nifty have been largely driven by the uptick in the heavyweight shares such as Reliance Industries Ltd (India’s biggest company by stock market value and country’s second-largest enterprise by turnover), Tata Consultancy Services (India’s largest IT firm and nation’s second-biggest company by market capitalisation), Infosys (India’s second-largest IT company and nation’s seventh-largest firm by market capitalisation) and HDFC Bank (India’s largest private sector lender, nation’s second-biggest bank after SBI and third-largest enterprise by stock market value).
Earlier last week, BSE Sensex breached the psychological level of 38,000 for the first time in the stock market history and touched an all-time high of 38,076.23 on 9 August 2018 while NSE Nifty surpassed the level of 11,400 and made a lifetime high of 11,495.2.