Stock market this week (India): Nifty records the best week since mid-March

Stock market this week India

It has been an excellent week for investors where the market ended positive on all five trading days. It was the best week for the Indian market after mid-March.

Indian stock market this week: Nifty movement this week

The market started the week on a positive note with both major indices gaining close to 1.5% on Monday. After OMCs cut ATF prices, shares of airline players increased. The worry for investors was the plunge in India's forex reserves by $8 billion, a 15-month low.

The Indian indices continued the rally on Tuesday led by banks and Reliance Industries. All  the major indices settled higher for the day. As per reports, Rakesh Jhunjhunwala cut stake in Tata Motors in April-June quarter.

The market continued the upward trend rising for the fourth consecutive day on Wednesday, gaining more than one percent as the government eases the windfall tax on fuel shipments and crude output, and kills the gasoline export levy. Nifty IT was the star performer for the day, gaining more than 3%.

NIFTY50 settled above the 16,600 level on Thursday for the first time since June 2, taking its winning streak to the fifty trading session. With support from FII buying, the domestic market was able to withstand the downward pressure from global markets to close on a positive note. 

The Indian market continued to rally on Friday led by gains in banking (HDFC Twin) and auto stocks. Except for IT and Pharma, all other indices closed in green.

Market this week India: Top Nifty gainers and losers

Indian stock markets this week: Key highlights

Quarterly results: The earning season was kicked-off last week and some big names declared their results this week. HDFC Life reported a net profit of 21% year-on-year to Rs 365 crore but misses estimates. HUL reported an excellent set of numbers, but the bottom-line was hit by inflation. Ambuja Cement's profits jumped 45% even after energy costs hurt the company. Wipro's profit tanked 21% on higher employee-related costs. Check the detailed report here.

Government eases windfall tax: The government has eliminated a levy on gasoline exports and cut windfall taxes on other fuels less than 3 weeks after they were imposed. The step will provide relief to top fuel exporter Reliance Industries and top crude explorer ONGC. A recent report pointed out that a massive crash in refining margins of diesel, petrol, and jet fuel has diminished the super profits of refiners.

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

Update on Yes Bank Business: Yes Bank’s plan to bring Carlyle and Advent on board as equity investors for about $1 billion after the bank proposed the sale of the lender’s stressed assets to JC Flowers Asset Reconstruction Company and the constitution of a new board. Since the bank is aiming to raise $1 billion, then each of the investors may end up owning anything 5% - 9.9% of each of the bank’s expanded equity.

India forex reserve decline: According to RBI's report, India's foreign exchange reserves declined by $8 billion to a 15-month low of $580.252 billion in the week ended 8 July 2022. The decrease in the reserves was on account of a fall in the Foreign Currency Assets (FCA), a major component of the overall reserves, and in the gold reserves.

Rupee falls below 80: This week rupee fell below the psychological level of 80 to 80.05 against the US dollar intra-day amid tightening monetary conditions and risk-off sentiments as well as persistent outflows from domestic markets.