Nifty extends gains to 4th week, hits fresh 52-week high: What’s behind the rally?

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Stock market this week India

The Indian market extended weekly gains to the fourth week. It started the holiday-shortened week on a positive note and also made a strong closing on Friday. The strong earnings continued to provide support to the market. NIFTY50 closed 1.65% higher this week.

Indian stock market this week: Nifty movement this week

The Indian equity market, with other Asian markets, gained on Monday amid positive global cues. The earning data motivated the investors which led to decent gains for the day. PSU bank index was the star performer with over 4% rally. Pharma and Healthcare were the only drags.

The Indian market was closed on Tuesday on account of Gurunanak Jayanti.

On Wednesday, the Indian equity market closed lower as investors kept an eye on the US midterm election results and inflation data later in the week. PSU banks were the only index that gained momentum, while selling pressure was seen in Metal, Pharma, and Realty.

The Indian equity market fell sharply on Thursday but made some recovery in the second half to close above the 18000 mark. All the sectors closed in the red, and Auto was the biggest drag. The Indian rupee continued to inch higher.

On Friday, the stocks made an exceptional rally as broader indices closed over 1.5% higher. However, smallcap and midcap indexes closed flat. The rally was driven by positive global cues - lower-than-expected inflation numbers in the US for October. The Indian rupee closed below the 81-level mark.

Market this week India: Top Nifty gainers and losers

Key highlights of the week

Quarterly results: Tata Motors' consolidated loss narrowed for the second quarter of the current fiscal to Rs 944.61 crore. Check the detailed report here and the target price of Tata Motors shares. Paytm's losses widened to Rs 571.5 crore from Rs 473.5 crore in the year-ago period. Check our detailed report and its target price. SBI reported a net profit of Rs 13,624 crore, a growth of 74% year on year. Check what analysts are saying after its Q2 numbers.

Indian rupee gain: The Indian rupee gained sustainably this week with over 100 paise gains. The Indian rupee appreciated because of weak US Dollars and positive domestic markets. Sustained FII inflows also supported the Indian rupee. The US Dollar weakened after lower-than-expected inflation numbers for October.

Market this week India: Top sectoral gainers and losers

FIIs continue to buy: The data show that in the last 20 days, since 21 October, FIIs have made a net investment of more than Rs 25000 crore. The reason cited for this buying is that the Indian market has continued to do well despite rising rates. Also, overall the quarterly results are displaying a strength of the Indian economy amid fears of a global recession. Another reason for FII inflow is the cooling of the US dollar index and strengthening of the Indian rupee.

Week of IPOs: Four IPOs opened for subscription this week, and DCX System made an excellent debut on the exchanges this week. The IPOs that opened for subscription are Archean Chemical Industries Limited, Five Star Business Finance Ltd, Kaynes Technology India Ltd, and Inox Green Energy Services Limited IPO.

  • What happened in Indian markets this week?

  • Which sectors were the best and worst performers for this week?

  • Which were the top Nifty gainers?

  • Which were the top Nifty losers?