Indian benchmark indices ended a volatile week on a positive note, extending gains for the second consecutive week despite the rollout of the new F&O Closing Auction Session (CAS).
Investor sentiment remained buoyed by better-than-expected Q1 earnings, sustained Foreign Institutional Investor (FII) buying for most of the week, the Reserve Bank of India’s decision to keep the repo rate unchanged at 5.25% while maintaining its “neutral” stance, and the steady progress of the southwest monsoon.
Key Benchmark Indices
- BSE Sensex: Gained 404.53 points (0.51%) to close at 78,499.17.
Nifty 50: Jumped 187.05 points (0.76%) to finish at 24,570.65.
Nifty Midcap 100: Advanced nearly 1%.
- Nifty Smallcap 100: Outperformed broader markets, surging nearly 3%.
Institutional Cash Flow (FII vs. DII)
Both foreign and domestic investors remained net buyers for the week, providing strong support to the domestic equity market:
FII Net Buying: ₹2,887.69 crore (extending their buying streak for a second straight week).
DII Net Buying: ₹7,767.37 crore (continuing consistent domestic inflows).
Market Wealth & Key Movers
The total market capitalisation of BSE-listed companies surged by over ₹7 lakh crore during the week, supported by broad-based buying across equities.
Top Wealth Creators: State Bank of India (SBI) led the gains, followed by Reliance Industries, Tata Consultancy Services (TCS), and Infosys.
Key Drags: Bajaj Finance, HDFC Bank, and Power Grid Corporation of India experienced profit booking, weighing on market capitalization.
Sectoral Trends
Sectoral performance remained mixed across the board:
Top Gainers
Nifty Auto: Up 3.14% (driven by robust auto sales figures in July).
Nifty IT: Advanced 2.70% (supported by positive earnings updates).
Defensives: Nifty FMCG gained 0.60%, while Nifty Oil & Gas edged 0.50% higher.
Top Losers
Nifty Media: Fell 4.00% .
Nifty Capital Markets: Down 2.00%.
Nifty Realty: Slipped 1.70% amid profit booking.
Currency Update
The Indian Rupee (INR) extended its appreciation for the second consecutive week, supported by sustained foreign fund inflows and positive domestic market sentiment following the RBI policy outcome.
USD/INR Settlement: Closed 18 paise stronger at 95.21 against the US Dollar on August 7 (vs. 95.39 the previous week).
Weekly Trading Range: Traded between 94.92 and 95.40.