Reserve Bank's monetary policy and Modi 3.0; stock market skyrocketing

KOCHI: The Indian stock market posted a record high on the momentum created by the Reserve Bank's monetary policy and the third Modi government. The Sensex jumped 1,619.5 points to close at 76,693 as foreign and domestic investors poured in huge amounts. The NSE Nifty closed at 23,290, a gain of 469 points.

Major indices have gained 10 percent in the last three days as Modi's third term became confirmed. Sensex made up for the loss and hit new highs after losing more than 4,000 points on the day of counting of votes.

With NDA allies pledging their full support to the new Modi government, worries over cabinet formation have been allayed, much to the excitement of investors. The Reserve Bank's assessment that India's growth rate will pick up to 7.2 percent in the current financial year despite no change in interest rates has also bolstered the market.