In the week ending on September 20, the Indian market maintained its recent upward trend and set a new record as investors welcomed the Fed’s unexpected 50 basis point interest rate drop. The decline in unemployment claims, a strong FII inflow, and the possibility that the RBI will adopt the Fed’s stance at its next monetary policy meeting helped improve the market mood.
This week, the Nifty50 index gained 434.5 points, or 1.71 percent, to close at 25,791, while the BSE Sensex jumped 1,653.37 points, or 1.99 percent, to conclude at 84,544.31. The BSE Sensex and Nifty reach new highs of 25,849.25 and 84,694.46, respectively, on September 20.
The Nifty Auto index increased by 2 percent, the Nifty FMCG index gained more than 1 percent, the Nifty Realty index increased by 4.5 percent, and the Nifty Bank index increased by 3.5 percent. On the other hand, the Nifty Media index dropped 2.6%, the Nifty Pharma index dropped 2%, and the Nifty Information Technology index lost over 3%.
About the US dollar, the Indian rupee maintained its gains and closed strongly. Compared to its closing of 83.89 on September 13, it closed 32 paise higher on September 20 at 83.57.
While domestic institutional investors (DII) sold stocks valued at Rs 633.67 crore, foreign institutional investors (FIIs) purchased stocks valued at Rs 11,517.92 crore. Nonetheless, for the month, FIIs purchased equity valued at Rs 26,336.52 crore, while DIIs purchased equity valued at Rs 8,249.79 crore.
