Markets registered weekly gains, despite Friday’s modest loss

MUMBAI: Despite a modest loss on Friday, the Indian markets registered notable gains for the week.

The Sensex surged by 1,707.01 points or 2.10 per cent, while the Nifty climbed by 504.35 points or 2.02 per cent over the course of the week, driven largely by a rally in heavyweight stocks across various sectors.

However, as investors locked in profits following the previous day’s record rally, the markets cooled off slightly. The Sensex declined by 71.77 points (0.09 per cent) to close at 82,890.94, while the Nifty dropped 32.40 points (0.13 per cent) to settle at 25,356.50.

FIIs pumped liquidity

The rally earlier in the week was largely driven by foreign institutional investors (FIIs), who pumped significant liquidity into the market.

On Thursday alone, FIIs bought equities worth Rs7,695 crore, reflecting renewed confidence in Indian equities. This surge coincided with global optimism on potential rate cuts by the European Central Bank (ECB) and the US Federal Reserve (Fed), boosting investor sentiment globally.

Subdued trading on Friday

After touching record highs on Thursday – when the Sensex crossed 83,000 for the first time and the Nifty hit a fresh peak of 25,433.35 – Friday’s session saw more subdued trading.

Adani Ports, ITC, and Bharti Airtel were among the major laggards in the Sensex, while gains in stocks like Bajaj Finserv, Tata Steel, and IndusInd Bank helped limit losses.

Resilience

Despite the marginal dip, the market’s overall weekly performance reflects resilience, as investors brace for the upcoming US Fed meeting, which could further shape global market direction.

Additionally, signs of easing inflationary pressure in India, with retail inflation remaining within the Reserve Bank of India’s target band for the second month, also supported market sentiment through the week.