BSE Sensex saw a spike of over 1200 during today’s trading session, up by over 1240 points at close. Sensex closed at 71,941 points, while Nifty was up 384 points on Monday, closing at 21,740 points at 3:30 pm.

One of the main reasons why the stock market recovered on Monday after previous week’s bloodbath was due to Reliance Industries’ stock rallying over 7 percent as markets closed, touching its 52-week high.

Reliance Industries Limited (RIL) market valuation crossed over ₹19.56 lakh crore mark on January 29, with the share price touching its all-time high at ₹2,895.10 apiece on the BSE.

Apart from Reliance, other heavyweight stocks like Adani Enterprises, Adani Ports and Coal India were among the top gainers of the day, leading to stock markets climbing over 1200 points.

The 30-share BSE Sensex jumped 1,203.90 points to touch its intraday high at 71,904.57, and the Nifty climbed 375.40 points to 21,715.60 during mid-trading hours on Monday.

Another reason why markets saw a boom on Monday is because of the Parliament Budget session 2024 set to commence this week, from January 31. The interim Budget 2024 will be presented in the Parliament on February 1 by Finance Minister Nirmala Sitharaman.

Last week, Sensex and Nifty saw a significant crash, with the markets falling over 1000 points for the second time in January 2024. Sensex dropped below 71,000 on January 23 for the first time in weeks, closing at 70,388. Now, the BSE index has shown a stellar recovery, approaching the 72,000 mark once again.

The optimism attached to the Union Budget 2024 is expected to further boost the markets throughout this week, with both Sensex and Nifty potentially nearing their all-time highs once again.

The US Federal Reserve’s policy meeting scheduled for January 31 is another factor to keep in mind during this week’s trading sessions, as it could reveal the potential timing of interest rate cuts.