WEEKLY REPORT
The Indian benchmark indices ended positive in this week.
For the week, the BSE Sensex up by 1,149.65 points, or 1.55%, to close at 75,415.35, while the Nifty 50 up by 346.85 points, or 1.48%, to settle at 23,719.30.
Major Gainers in the week: Software & Services over 4%, Transportation around 1.37% and General Industry 1.32%.
Sectoral Laggards: Hardware Tech by 3.59%, Media by 3% and Metals and Mining 2.3%
Among the broader market indices, both Nifty Mid-cap index and the Nifty Small-cap indices ended positive by 2.03 and 0.91 percent this week.
FIIs sold heavily in cash market (-₹7,573 Cr). DIIs absorbed strongly with +₹16,948 Cr buying. FIIs were very aggressive in Index Options (-₹16,898 Cr).Despite FII selling, indices ended slightly positive, showing domestic buying strength.
The Indian rupee positive during the week, appreciating by ₹0.70 to settle at ₹95.70 against the US dollar on May 23, 2026, compared with ₹95.97 in the previous week.
ECONOMY
INDIA – Fuel Up, Growth Down
India is caught in a straightforward but painful squeeze. Petrol and diesel were hiked for the third time in ten days on May 23, pushing cumulative increases to nearly ₹5 per litre. ICRA responded by cutting India’s FY27 GDP forecast to 6.2%, with crude oil now expected to average $95 per barrel. The saving grace: India’s Composite PMI held steady at 58.1 in May – marking 58 straight months of private sector expansion. Strong fundamentals are holding for now, but the margin for comfort is shrinking fast.
ASIA – Export Engine On, Consumer Engine Off
Asia is running two economies at once. China’s retail sales grew just 0.2% in April – the weakest reading since December 2022 – as automobile sales crashed 15.3% and consumer confidence stayed fragile. Japan told the opposite story: GDP grew at an annualized 2.1% in Q1, beating forecasts on the back of strong exports and rising consumption. The gap between Asia’s two largest economies has rarely looked wider – but analysts warn Japan’s strong quarter predates the Iran war’s full energy cost impact, and rougher months lie ahead.
EUROPE – Stagflation Knocks on the Door
Europe is facing its most uncomfortable economic moment since 2022. The European Commission slashed its Eurozone growth forecast to just 0.9% for 2026, with Germany cut to 0.6%, France to 0.8%, and Italy to a fragile 0.5%. The IMF warned a prolonged Middle East crisis could tip Europe into outright recession, with oil prices up 70% and gas still 45% above pre-war levels. The ECB now faces an impossible choice – raise rates and strangle growth, or hold and let inflation embed.
STOCKS IN NEWS
Grasim Industries
Stocks of Grasim Industries rose nearly 9% this week. The company narrowed its March quarter net loss, and revenue was sharply above analysts’ estimate. The Aditya Birla Group firm reported a standalone net loss of Rs 164 crore for the quarter ended March 31, compared with a loss of Rs 288 crore a year earlier.
Nibe
Shares of Nibe surged more than 41 percent on this week after the Pune-based defence equipment manufacturer successfully testfired its Suryastra rockets off the Odisha coast earlier this week.
Tata Communications
Shares of Tata Communications rose over 18% this week after The company announced the appointment of Ganapathi S Lakshminarayanan as the managing director and chief executive officer of the company for five years.
Vodafone Idea
Stocks of Vodafonde Idea rose 6% on this week after the telco’s CEO said the firm is “deeply engaged” with an SBI-led bank consortium for its planned Rs 35,000-crore debt funding package, with the lender group comprising public sector banks, private banks and foreign banks. During the company’s fourth-quarter earnings call on Monday, chief executive officer Abhijit Kishore said that the telecom operator expects to close the process “very fast”.
Source:Moneycontrol, CNBC, Indexbox, BizzBuzz
