Stock market this week (India): Nifty ends 2.6% higher; Q1 earnings, global cues drive markets

Stock market this week India

The week started on a negative but rallied in the last three days. NIFTY closed nearly 3% higher this week and performed better than its global peers. Metals, realty, and banks were top performers in the week. Auto and healthcare witnessed losses on a week-on-week basis.

Indian stock market this week: Nifty movement this week

The Indian market ended lower on Monday, weighed down by index heavyweight Reliance Industries and automobile stocks. The market opened lower on the back of weak global cues as investors await the next moves by the US Federal Reserve on Wednesday.

Both major Indian indices ended on a negative note on Tuesday for the second consecutive day, ending nearly 1% lower. All major indices except Media ended in the red. Gold prices fell on Tuesday along with silver.

The Indian stock market snapped the two-day losing streak to close with gains on Wednesday. The view by most analysts' changed to bullish. After losing 25% in the last two days, Zomato's share price rebounded.

The benchmark indices continued the winning momentum to Thursday and rallied over 1.5%, led by Bajaj Twins - both rallied 10%. Banking and IT stocks also ended higher amid positive cues. The US Fed hike of 75 bps was as expected and already factored in by the equity market.

The Indian market continued the winning rally for the third consecutive day on Friday, ending over 1.25% higher. Indian rupee continues to strengthen this week as it ended 49 paise higher at 79.26 per dollar.

Nifty sectoral gainers & losers

Key highlights of the week:

Quarterly result: It was a busy week for investors as many big names declared their results. Axis Bank reported a 91% increase in its net profit but missed estimates. On the other hand, Tata Steel and Asian Paints reported results beating estimates. L&T reported higher profits but missed estimates. Tata Motors reported a Rs 5007 crore loss but analysts still have given a higher target price. Check the report here. Bajaj Finance profits jumped 159% and were above estimates.

Update on Zomato share: Zomato stock has plunged around 70% so far this year and 20% at the start of this week as IPO lock-in ends. Around 78% of Zomato shares were under the 12-month lock-in period as per SEBI norms. With the lock-in ends, these shareholders are now free to sell their stock in the open market when they desire. The stock recovered towards the end after Jefferies gave a higher target for Zomato - Rs 100 per share.

Rupee at 3-week high: The Indian rupee strengthened to its highest in nearly 3 weeks, tracking broad losses in the dollar on easing concerns over the need for continued aggressive interest rate hikes by the US Federal Reserve. On Friday, it was trading close to 79.3925, its strongest since July 11.

FII buying in June: In the June quarter, FIIs increased their stake in Paytm to 5.47% from 4.42% in the March quarter. FIIs and mutual funds have increased stake in Bank of India, Bank of Maharashtra, Bandhan Bank, Amara Raja Batteries, Eicher Motors, Escorts Kubota, Jamna Auto, Mahindra & Mahindra, and MRF in the auto and auto ancillaries.