The way a decline was seen in the market in the month of October. Investors had little hope that the market could bounce back so soon. However, as usual, the market presented its new record. When the market opened as per the scheduled time on the occasion of Muhurat trading, a rise was seen in both Sensex and Nifty. Sensex gained 434 points to 79,823 and Nifty gained 111 points to 24,316.
Stock brokers in India see Diwali as the beginning of their financial year. Many investors consider buying shares during this period as a way to invite prosperity for the coming year. This is a time for traders to diversify their portfolio. Although largely symbolic, there is often active participation in muhurat trading, with experienced investors using the opportunity to adjust their portfolios.
In the last one year, when the Indian stock market was at its top level, NSE Nifty has given returns of up to 25 percent. Whereas the return of BSE Sensex has been around 23 percent. BSE Midcap and Smallcap indices in the country performed tremendously and gave returns of up to 47%.
If we look at the history of last 17 Muhurat trading, the number of upswings in the market appears to be more than the number of downswings. BSE Sensex has closed higher in 13 out of the last 17 Muhurat trading sessions. BSE Sensex had increased the most in 2008. Then the Sensex had increased by 5.86 percent to reach 9,008. However, the equity index performed well during these sessions.
