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Indian stocks record the highest week since February 2021 for bank purchases and return of foreign funds

New Delhi [India], July 24 (ANI): The Indian stock market recorded the best weekly performance in sessions until Friday. This is especially supported by repurchases of banks and IT stocks and the return of foreign investment in the Indian market months later. India’s stock price has risen six trots.

The domestic stock market closed at its highest level in seven weeks, the highest week since February 2021.

Sensex and Nifty increased by about 3-4 percent on a cumulative basis over the same period.

Foreign Portfolio Investors (FPIs) have stocked in the Indian market for the past 9-10 months, excluding recent purchases, for a variety of reasons, including monetary tightening in developed countries and rising dollar and bond yields in the United States. Has been sold. .. According to NSDL data, it has so far generated 226,420 rupees in 2022.

But so far in July, they were net buyers.

“The Indian market witnessed a one-way backlash as the Bulls had complete control of the bear,” said executive Smeet Bagadia. “The ECB raised interest rates by 50 basis points, and the market ignored negative sentiment last week. I did. ” Director of Choice Brokering.

Next week, financial markets will react to the results of the Federal Reserve’s monetary policy meeting, in addition to the first-quarter earnings of Indian companies.

“Sensex finished at 56072.2 and rose 2311 points or 4.30 percent, while Nifty settled at 670 points or 4.18 percent on a weekly basis at 16719.45. Banknifty finished at the 36738.95 level, up 5.93 percent per week. He showed a strong bounce, “Bagadia said.

IndusInd Bank, Ultratech Cement, Axis Bank, Glasim Industries and Hindal Coin Industries were the top winners of the week, while Dr. Reddies Lab, HDFC Life Insurance, NTPC and Sun Pharma Industries were the top losers.

A decent buy by a foreign investor for the first time in a long time turned into a positive sentiment in the short term.

“Next week is full of activity. FOMC meetings and press conferences will be the focus. Rate hikes are expected to be aggressive, but market participants will try to interpret between the lines to assess the economic route. It will try to curb inflation without harming the labor market. “

This week’s Indian rupee fell below the psychologically significant level of 80 against the US dollar for the first time, despite high oil prices boosting demand for the US currency amid tight global supply. However, the consistent decline in the rupee is a concern among investors.

India’s foreign exchange reserves have fallen by more than US $ 47-48 billion in the six months since January 2022.

India’s foreign exchange reserves fell $ 7,541 million to $ 572.12 billion in the week leading up to July 15 as the Reserve Bank of India (RBI) likely used the battlefield to defend the rupee. , It reached the lowest level in 20 months.

RBI typically intervenes in the market through liquidity management, including the sale of dollars.

LKP Securities research analyst Jateen Trivedy said, “Next week’s Fed statement and policies are drawing more clues and directions. The rupee range to date is 79.75-80.20. Is. ” (ANI)

Indian stocks record the highest week since February 2021 for bank purchases and return of foreign funds

Source link Indian stocks record the highest week since February 2021 for bank purchases and return of foreign funds

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