Nifty Up 5 Days Straight, Smallcaps Set for Best Week Since 2020; India VIX Drops to 5-Month Low
Nifty Smallcap 100 index on track for its highest weekly gain since June 2020.
As of 10:12 AM: The Nifty 50 index has moved above the 23,250 mark and is trading higher by 71 points or 0.30 per cent. Keeping pace with the Nifty 50, the Sensex has also rallied by 0.27 per cent to 76,551. The India VIX has touched a fresh 5-month low and is currently trading below the 12.5 mark.
The Nifty Bank has crossed above the previous session’s high of 50,155 and is trading near the day’s high, up by 160 points or 0.31 per cent.
Interestingly, the Nifty 50 has gained about 3.91 per cent on a week-to-date (WTD) basis, marking its strongest weekly performance since July 2022. As a result, it is on the verge of recording its sharpest weekly gains in over two years.
All sectoral indices are trading in the green, led by Nifty Realty and Nifty Media.
Market breadth remains strong amid broad-based buying, with the Nifty Smallcap 100 index trading higher by 1.43 per cent. It is up nearly 8 per cent this week, on track for its highest weekly gain since June 2020.
Pre-Market Update at 7:45 AM: Sensex and Nifty 50 are likely to open on a flat note, reflecting mixed global market trends. Asian markets showed a mixed performance, while US equities closed lower as investors assessed key economic data.
Gift Nifty was hovering near 23,247, reflecting a premium of approximately 47 points over the previous close of Nifty futures, signalling a flat-to-positive start for the Indian stock market indices.
The US stock market closed slightly lower on Thursday as investors assessed the latest economic data. The Dow Jones Industrial Average slipped 11.31 points, or 0.03 per cent, to 41,953.32, while the S&P 500 declined 12.40 points, or 0.22 per cent, to 5,662.89. The Nasdaq Composite ended 59.16 points, or 0.33 per cent, lower at 17,691.63.
The Bank of England decided to maintain interest rates at 4.5 per cent, with an 8-1 vote among policymakers, cautioning investors against expecting rapid rate cuts.
In the US, weekly jobless claims saw a minor uptick, with 223,000 new applications for unemployment benefits recorded for the week ending March 15, slightly below the 224,000 estimate from economists.
Accenture reported a 5 per cent year-on-year revenue growth to USD 16.7 billion for the December-February period, within its projected range. It revised its full-year revenue growth outlook to 5-7 per cent in local currency. For Q2 FY25, revenue rose to USD 16.66 billion, with a gross margin decline to 29.9 per cent from 30.9 per cent last year. The company expects Q3 revenue between USD 16.9 billion and USD 17.5 billion.
Meanwhile, Japan’s core inflation stood at 3.0 per cent in February, with an index excluding fuel costs rising at its fastest pace in nearly a year. The core consumer price index, which excludes fresh food costs, aligned closely with the 2.9 per cent median market forecast but reflected a slowdown from January’s 3.2 per cent increase. Additionally, a separate index stripping out both fresh food and fuel costs rose 2.6 per cent year-on-year, following a 2.5 per cent rise in January.
Asian markets showed a mixed trend on Friday, as weakness from Wall Street’s overnight decline impacted investor sentiment. Japan’s Nikkei 225 advanced 0.34 per cent, while the Topix edged up 0.27 per cent. In contrast, South Korea’s Kospi slipped 0.16 per cent, and the Kosdaq dropped 0.86 per cent. Meanwhile, Hong Kong’s Hang Seng index futures signalled a subdued start.
Crude oil prices hold steady as fuel drawdown counters the strong dollar. Brent crude climbed 0.02 per cent to USD 72.26 per barrel, while US West Texas Intermediate (WTI) crude futures edged up 0.29 per cent to USD 68.30.
The dollar index was trading at 103.47, while USD/INR was trading at 86.26.
The Indian stock market continued its upward momentum for the fourth straight session on Thursday, driven by broad-based buying across sectors. The Sensex climbed 899.01 points, or 1.19 per cent, to settle at 76,348.06, while the Nifty 50 advanced 283.05 points, or 1.24 per cent, to close at 23,190.65.
On March 20, 2025, foreign institutional investors (FII) bought shares worth Rs 3,239.14 crore, while domestic institutional investors (DII) sold shares worth Rs 3,136.02 crore.
Stocks that are banned for trading in the F&O segment on March 21, 2025, are Manappuram Finance Ltd, Indusind Bank Ltd, Polycab India Ltd, Hindustan Copper Ltd, Steel Authority of India Ltd etc.
Disclaimer: The article is for informational purposes only and not investment advice.