Small, midcaps pip bluechips as mkt rebound gathers steam

Small and midcaps are leading the charge in the latest market rebound. Since November 21, when the benchmark S&P BSE Sensex and the National Stock Exchange Nifty hit their recent lows and slipped into correction territory, the Nifty Smallcap 100 index has risen by 8 per cent, while the Nifty Midcap 100 has gained 5.7 per cent.

- SUNDAR SETHURAMAN

Small and midcaps are leading the charge in the latest market rebound. Since November 21, when the benchmark S&P BSE Sensex and the National Stock Exchange Nifty hit their recent lows and slipped into correction territory, the Nifty Smallcap 100 index has risen by 8 per cent, while the Nifty Midcap 100 has gained 5.7 per cent. Meanwhile, the Nifty 50 index has risen by 4.7 per cent during this period.

From their recent lows on November 13, the Nifty Smallcap 100 index has gained close to 9 per cent, while the Nifty Midcap 100 has risen by 7 per cent.

The sharper recovery in small and midcaps is due to the continued selloff in the largecap space, mainly by foreign investors. Experts say that parts of the small and midcap space have turned attractive after the sharp correction over the past two months.