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Sensex Hits 50,000: How It Traveled Over 40 Years Since 1979

The index has gained 10,000 points, or 25%, in more than 1.5 years, after it hit 40,000 points in May 2019

By - Mohammed Kudrati | 21 Jan 2021 2:09 PM IST

Sensex has touched 50,000 points for the first time, backed by a record rally that began in April 2020 post the COVID led panic took the Sensex down to 25,981 points on March 23. The index is currently trading at 50,0094 points as of 1:51 PM.

Sensex gained its latest block of 10,000, or a 25% increase in points in just over 1.5 years. Official data from the Bombay Stock Exchange show that the index first crossed 40,000 on May 23, 2019, the day of counting of the results of the elections to the 17th Lok Sabha, when Prime Minister Narendra Modi won a landslide second term - roughly 415 trading days ago. 

It reached 30,000 points for the first time on March 4, 2015.  At the start of the century, in February 2000, Sensex was at 6,000 points. 

Here's the journey of Sensex through the years. 

Sensex: Born a 100

Sensex was established on April 1, 1979, with a base of 100 points.

However, Sensex started to formally publish its value in 1985, when its value was hovering around the 400 mark. 


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The first 10,000

On February 6, 2006, the index hit its first 10,000 points, reaching 10,002.83 points in intraday trade, but it receded to 9,980.42 when it closed.

It was only until the next day, on February 7, 2006, that Sensex closed at 10,082.28 points. 

It took a little less than 27 years to reach this milestone, growing from 100 points to 10,000 points.

20,000 points 

The index touched 20,000 points, for the first time on October 29, 2007, when it touched 20,024.87 points intraday. 

According to Kotak Securities, this rally was driven by institutional investors and aggressive retail buying. 

Also Read:Joe Biden Sworn In As 46th President Of The United States

The long journey to 30,000

On March 4, 2015, Sensex crossed this mark for the first time, touching 30,024.74 intraday. 

Though, while the index went from 10,000 to 20,000, growing 100%, in a little more than 18 months, it took a little less than 8 years to get to the next 10,000, growing only 50%. 

In the interim, the lull was created due to the global financial crisis of 2008. In October 2008, it fell below 8,000 points. 

However, the Sensex recovered from there, until it hit 25,000 points in May 2014, when Prime Minister Narendra Modi assumed office for the first time. 

From there, it reached 30,000 points in a little less than a year. Kotak Securities attributes this rise to the ample global liquidity made available by central banks across the world. 

40,000 points

In just a little more than 4 years, Sensex reached 40,000 points on May 23, 2019, giving returns of 33.33%.

It was the day of counting of the results of the elections to 17th Lok Sabha, and Sensex touched this mark for the first time - at 40,124.69 points - when the trends showed that the Prime Minister Narendra Modi-led Bharatiya Janata Party government was poised to win a second term in office. 

Even though the index closed lower than the previous day, at its high, the index rallied nearly 2.5%. 

Also Read: Bitcoin Crosses $20,000 Mark For The First Time In Red Hot 2020 Rally

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