Stock Market Recovery This Week
This week marked a strong recovery in the Indian stock market, with major indices posting significant gains. The Nifty 50 rose by 3.77%, adding 847.75 points, while Bank Nifty climbed 4.72%, contributing 2280 points. Broader markets were even more impressive, with Nifty Midcap 150 gaining 6.98% and Nifty Smallcap 100 surging 8.26%, showcasing robust investor confidence.
Sectorally, Nifty Media led the rally with a 7.43% gain, while Nifty Capital Markets and Defence surged 12.67% and 10.56%, respectively. Defence stocks, in particular, soared after the Defence Acquisition Council (DAC) approved ₹54,000 crore worth of proposals to strengthen the operational capabilities of the Indian Armed Forces.
Index Updates and Rejigs
This week also saw significant developments in major indices. As part of the upcoming Nifty rejig, Zomato and Jio Financial Services will replace Britannia and BPCL in the Nifty 50, effective March 28. This change reflects evolving market dynamics and the increasing prominence of newer-age companies in the index.
Additionally, Friday witnessed the FTSE Rejig, leading to an estimated $1.6 billion in passive flows into Indian equities. Key additions included Bajaj Housing Finance, BSE, and other stocks, which contributed to heightened market activity.
Corporate Highlights
In other corporate developments, Bain Capital, a US-based private investment firm, launched a ₹5,764 crore open offer to acquire an additional 26% stake in Manappuram Finance, driving the stock 8% higher on Friday.
Globally, the S&P 500 rebounded after briefly entering a correction period, supported by post-Federal Reserve meeting optimism. Meanwhile, the Hang Seng Index declined 2.44% amid a continued sell-off in tech stocks and underwhelming earnings from large-cap companies. The announcement of reciprocal tariffs by the US, effective April 2, added to global trade concerns.
Top Performers
Among Indian stocks, PB Fintech gained 17.07%, followed by Bharat Forge at 14.92%. Max Healthcare and BSE also delivered strong performances, gaining 14.65% and 14.06%, respectively. On the institutional front, Foreign Institutional Investors (FIIs) turned net buyers on Thursday, infusing ₹3,239.14 crores into the market.
With notable index reshuffles, robust domestic performance, and mixed global cues, the market outlook remains dynamic. How do you see these developments shaping the weeks ahead? Share your insights!