The sensex continues its bullish run and has increased by 35% since the opening of 2018. Also, remember that just 14 trading sessions have happened and already it is more than the 28.80% returns in the whole of the previous year.

The NSE also known as nifty continued its rise with 36.85% returns as compared to 28.40 % in the previous year. On Thursday the Sensex reached 35,476, a rise of 390 points while its lesser counterpart, Nifty closed at 10,887 which was 100 points more as compared to previous day’s close. A number of factors contributed to this rise in both the Stock markets.

FII confidence returns

Foreign Investors have started to invest in a major way after a brief hiatus of five months. Since August 2017 foreign investors have pumped in Rs 67,718 crore in the Indian market. Until January 17 FII had brought Rs 2,124 crore into the market and Domestic investors have put Rs 1,195 crore in purchases reflecting a happy episode in the Indian Growth story.

The markets have shown confidence and banking sector is doing well amid talks that the center is contemplating to allow 100% FDI in the banking sector.

There are reports that the government is thinking about increase the FDI limit in the public sector banks to 49% from the present 20%.

Lesser borrowings

The market has reacted positively to the move by government to lower additional borrowing requirement for the current fiscal to Rs 20,000 crore from Rs 50,000 crore estimated earlier. The prospect of easing of the fiscal deficit is also fueling the bullish trends in the banking sector