The BSE Sensex extended its rally into the second trading session of Calendar Year 2025, surging over 1,300 points or 1.69% as of 2:28 PM on January 2, 2025. Trading at 79,824, the advance-decline ratio heavily favoured advances, with 29 stocks in green and only one in red—Sun Pharma being the lone underperformer.
The Bajaj Twins emerged as the top gainers, with Bajaj Finserv advancing over 7% and Bajaj Finance climbing 6.6%. Auto stocks also displayed robust performance, with Maruti Suzuki rising 5.16% and Mahindra & Mahindra (M&M) gaining 4.13%.
Historically, January has been a sluggish month for the Sensex, averaging just 0.30% gains since 1999. Interestingly, 52% of January’s since then have ended in the red. However, 2025 appears to be breaking this pattern. Notably, the index hasn’t posted positive returns in January since 2020, making this 2% surge particularly significant.
The only instance of double-digit January gains occurred in 2012 when the Sensex soared 11.25%.
As of January 1, 2025, the PE ratio of the BSE Sensex stands at 22.8, which is below its 1- and 3-month averages as well as 2- and 5-year averages, suggesting valuations remain attractive despite the recent rally.
Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.
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Published on: Jan 2, 2025, 3:30 PM IST
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