Gold Hits Lifetime High, Stock Market Surges Sharply

Business News: In the last few days, both the Indian stock market and gold (gold) have seen a tremendous rise. Usually these two asset classes do not grow simultaneously, but this time both the fronts became a great opportunity for investors. While the stock market gave a gain of about 6 per cent in four business days, gold gave about 9 per cent returns in seven trading sessions.

How the stock market made profit

From April 9 to April 17, the Sensex recorded a gain of about 4,700 points in the stock market, which is a rise of 6.37%. The Sensex closed at 73,847.15 on 9 April, while on 17 April it reached 78,553.20 levels. During this period, on April 11 and April 15, the Sensex rose a strong rise of 1,300 and 1,577 points respectively.

Similarly, Nifty also increased the mark of 23,851.65 from 22,399.15 to 23,851.65 since April 9. The Nifty saw a gain of 1,452 points. This fast became a big profit for investors.

Gold did not leave any stone unturned

Gold prices on MCX were Rs 87,648 per 10 grams on April 8, which rose to Rs 95,239 on 17 April. During this time Gold gave a return of about 9% i.e. Rs 7,591. The special thing is that on April 17, Gold also went to his all time high with Rs 95,935. However, prices closed with a decline of Rs 400 on the same day.
Reasons for simultaneous speed

There are many important global and domestic reasons behind this unprecedented speed:

• Tariff concessions and global instability: The declaration of tariff removal by the US from some countries created positive sentiments in the stock market. At the same time, Gold received demand as safe haven due to the possibility of tariff war on China.
• Dollar index declines: Dollar weakened strengthened the rupee, making foreign investors money in Indian markets. Also, weakened dollar makes gold expensive, which supports its prices.
• Fear of global recession: IMF and World Bank have expressed the possibility of global recession, with investors running towards Gold, while India's strong macroeconomic figures supported the stock market.
• Interest rate cuts: Liquidity has increased due to interest rate cuts in the US, Europe and India, which has an impact positive on both markets.
• Positive Market Sentments: The hope of trade agreements between the US-China-Japan has supported the stock market, while the fear of recession has increased the demand for gold.

Market mood is positive

Currently the market mood is positive. Investors should be conscious and adopt a strategy to book profits at the right time so that this fast can be taken full advantage.Reasons for simultaneous speed.