Share Market: The Indian stock market welcomed the new year 2025 with a bang after a sluggish start on Thursday. The Sensex closed at 79,943 with a gain of 1436 points, while the Nifty closed at 24,188, up 446 points. At one point during trading, the Sensex had climbed more than 1500 points, while the Nifty had reached 24,200 points. 

According to market experts, "The domestic market witnessed a rally driven by optimism about the upcoming income session starting next week. The rally was broad-based, with almost all sectoral indices registering gains. The auto sector showed the biggest gains, with sales growth picking up in December despite generally low demand."

1. Strong sales in the auto sector

The auto sector has performed brilliantly in the last month. Strong sales figures for December have pushed the market to new heights. Eicher Motors' stock has registered a gain of 8.65%. At the same time, Maruti Suzuki's stock also rose by 5.5%. Apart from this, Mahindra & Mahindra and Ashok Leyland's stock also rose by 4% and 6.2%.

2. IT stocks surge

The IT sector, the second largest sector of the financial sector, saw a 2.3% rise in its stocks. Major IT companies like Infosys, TCS, HCL Tech, and Tech Mahindra added 360 points to the Sensex. CLSA and Citi have forecast revenue growth in the sector during the December quarter and 2025.

3. Signs of improvement in the Indian economy

According to Bernstein's report, the Indian economy has bottomed and growth is expected in the next 1-2 quarters. The report considered 5% growth in September and low industrial production as signs of economic recovery. Bernstein has set a target of 26,500 for Nifty 50 by the end of 2025, indicating a potential return of 12%.

4. Recovery of banking and financial stocks

Banking and financial stocks performed well on Thursday. Bajaj Finserv and Bajaj Finance saw gains of 8% and 6.5% respectively. Private banks like HDFC Bank, Kotak Mahindra Bank, and IndusInd Bank also strengthened the market.

5. Buying on the expiry day

Due to the weekly expiry on Thursday, investors also made strong purchases. Nifty was in the range of 23,900 and 23,500 for the last two weeks. On Thursday, the market broke the upper level of this range and achieved new heights.