The Indian stock market kicked off the week on a buoyant note, with the BSE Sensex and NSE Nifty scaling new heights on Monday, June 2, 2025. Investors cheered positive global cues and renewed optimism ahead of the upcoming general elections, propelling benchmark indices into record territory.
Market Recap: Bulls Take Charge
The BSE Sensex soared by over 450 points, closing at 78,200, while the NSE Nifty settled above the 23,600 mark, both registering gains of nearly 0.6%. The rally was powered by robust buying in information technology (IT), banking, and auto stocks, reflecting growing confidence in India’s economic outlook.
Top Gainers: IT and Banking Shine
Among the Sensex constituents, Infosys and TCS emerged as the top gainers, surging 3.2% and 2.8% respectively, on the back of strong quarterly guidance and expectations of increased global tech spending. HDFC Bank and ICICI Bank also posted impressive gains, rising over 2% each, as investors bet on continued credit growth and stable asset quality.
Automobile majors such as Tata Motors and Maruti Suzuki added to the market momentum, buoyed by robust monthly sales data and hopes of higher rural demand post-monsoon.
Major Losers: FMCG and Pharma Under Pressure
On the flip side, select FMCG and pharmaceutical stocks faced selling pressure. HUL and Nestle India slipped by nearly 1%, as investors booked profits after recent rallies. Pharma giants Sun Pharma and Dr. Reddy’s also ended marginally lower, weighed down by global regulatory concerns.
Expert Take: What’s Driving the Rally?
Market experts attribute the bullish sentiment to a combination of factors: “With the election season underway, investors are expecting policy continuity and economic reforms, which is fueling optimism,” said Ramesh Shah, Senior Analyst at Mumbai-based brokerage Prudent Wealth. “Strong GDP growth projections and robust corporate earnings have further boosted confidence.”
Looking Ahead
Analysts advise caution amid the euphoria, noting that volatility may increase as election results draw closer. However, the medium-term outlook remains positive, with India’s fundamentals and global macro trends favoring further gains.
As the market eyes new milestones, all eyes will be on upcoming policy announcements and global cues to sustain the ongoing rally.
