Festive Cheer Spreads To The Markets Too

The Indian frontline indices have sustained their strong upward momentum, although the pace was slower compared to last fortnight. Similar to many global indices, domestic indices received a significant lift following the Federal Reserve’s decision to maintain interest rates while unexpectedly signalling potential rate cuts in 2024, and thereby adopting a dovish stance. Thus buoyed by growing optimism, both foreign institutional investors (FIIs) and domestic institutional investors (DIIs) remained net buyers.

FIIs reported a substantial inflow of ₹12,436.10 crore in the last two weeks, while DIIs further bolstered market support with an inflow of ₹6,501.64 crore. The BSE Sensex and Nifty 50 recorded gains of 1.84 per cent and 1.81 per cent, respectively, over the fortnight period, reaching new all-time highs on the stock exchanges. The BSE Mid-Cap index registered a gain of 1.68 per cent, and notably, the BSE Small-Cap index outperformed the main indices with a gain of 2.18 per cent. Investor optimism could be witnessed across various sectors, with all the sectoral indices trading higher except for BSE Auto.