Mumbai, Aug 8: Indian equity markets posted gains for the second consecutive week, supported by a sharp correction in crude oil prices and strong Q1 FY27 corporate earnings.
The Nifty rose 0.77 per cent during the week to close at 24,570, despite falling 0.27 per cent in Friday's session. The Sensex declined 455 points, or 0.58 per cent, on Friday to end at 78,499, but gained 0.52 per cent for the week.
Broader markets outperformed, with the Nifty Midcap100 rising 0.87 per cent and the Nifty Smallcap100 advancing 2.73 per cent. Small-cap stocks benefited from strong earnings momentum, while PSU banks, metals and automobiles emerged among the better-performing sectors.
Lower crude prices helped improve the macroeconomic outlook and eased concerns over inflationary pressures. Markets also stabilised after initial volatility following the introduction of the new F&O Closing Auction Session.
Domestic sentiment was further supported by the RBI's growth outlook and lower inflation projections, while better-than-expected Q1 FY27 earnings encouraged broad-based buying.
Globally, softer US labour market data reduced expectations of an immediate Fed rate hike, pushing bond yields and the dollar lower.
Investors will now track upcoming US labour and inflation data, along with India's CPI, WPI and credit growth figures, for further cues on the market's direction.
