Nifty extends winning run to third week: What led to the rally?

Stock market this week India

The Indian market closed with a weekly gain this week despite geopolitical tension between the US and China. Out of the five trading days, the market closed in the green for four days.

Indian stock market this week: Nifty movement this week

The Indian stock market started the week and the month on a positive note on Monday. Investors keep a close on the week's earning reports and RBI monetary policy outcome scheduled at the end of the week. The Indian rupee appreciated a decline in crude oil prices and a weak US dollar.

The equity market on Tuesday extended its gains for the fifth consecutive session and ended marginally higher. Investors kept a close watch on the geopolitical tension between China and the US. NIFTY PSU Bank was the standout performer for the day.

Stocks on the Indian exchange started the day negative but staged a comeback on Wednesday amid continuous foreign fund inflows and positive global cues. Banks and Auto stocks rallied, while the IT sector was a drag.

The Indian equity market snapped the six-day winning streak to close in the red on Thursday. The day started on a positive note but closed half a percent lower. The market was down because of geopolitical concerns between China and Taiwan.

On Friday, the market started on a positive note, and RBI repo-rate rate hike, in line with estimates, boosted the market further. However, the market lost most of the gains in the last hour and closed flat, slightly higher.

Market this week India: Top Nifty gainers and losers

Indian stock markets this week: Key highlights

Quarterly results: This was another action-packed week where many big names reported their first-quarter earnings. ITC reported an increase in its net profit, beating estimates. Check the detailed report here. Zomato's losses narrowed, revenue jumped 67%, and share price rallied. Know the reason here. Adani Green reported its Q1FY23 numbers, the bottomline fell by 2% YoY.

Rupee Strengthening: The Indian rupee has reversed its slide this week amid a weakening in the US dollar index, and a halt in foreign investors' selling spree. From a record low of 80.06 per dollar in late July, the rupee has pulled back to 78-79 per dollar levels. Any further relief in the rupee will be beneficial for oil marketing companies, which can offset the losses taken on the marketing margins. Take advantage of currency movement, to know how, check this. 

Indian Stock Market This Week: Top Nifty sectoral gainers and losers

MPC update: The MPC decided to raise the rates on the back of inflationary pressures and higher supply shocks. The RBI has hiked the policy repo rate by 50 basis points to 5.4%. RBI Policy stance is retained at Withdrawal of Accommodation. It has also decided to raise MSF (Marginal Standing Facility) and Bank Rate to 5.65% from 5.15%. Standing Deposit Facility (SDF) rates have been revised from 4.65% to 5.15%. Check the detailed report here.

US-China tension over Taiwan: Market in the coming days will depend a lot on the US-China tension over US House Speaker Nancy Pelosi’s expected visit to Taiwan. It could emerge as the main event risk in the near term. Investors should keep a close eye on the developments and plan their investments accordingly.