17 October,2026 02:41 PM IST | Mumbai | mid-day online correspondent
Representational Image. File pic.
The domestic equity benchmark indices gained for the second consecutive week amid the easing of crude oil prices, a stable rupee and strong quarterly performances of IT companies that boosted investor sentiment.
During the week, the Sensex jumped 2,256.94 points or 3.11 per cent. The Nifty rose 625.70 points or 2.78 per cent.
"Indian equities staged a firm recovery this week despite inflation concerns weighing on sentiment early on. Consumer inflation hovering near the upper end of the RBI's tolerance band and a hotter-than-expected WPI print pushed the benchmark bond yield to a multi-year high, reviving fears of further monetary tightening," Vinod Nair, Head of Research, Geojit Investments said.
"While the RBI's move to raise the daily CRR maintenance requirement to absorb surplus liquidity added to the caution, sentiment improved steadily as the central bank's special dollar window for oil marketing companies and tighter hedging norms drove a rebound in the rupee. Expectations of a review of LTCG tax and STT, softer crude prices and easing bond yields further revived risk appetite," he added.
On Friday, The 30-share BSE Sensex advanced 413.66 points, or 0.56 per cent, to settle at 74,729.27. The 50-share NSE Nifty rose 148.80 points, or 0.65 per cent, to end at 23,146.15.
"Among sectoral indices, IT was the top performer, rallying over 10 per cent. In contrast, despite the strong market momentum, the Healthcare and FMCG indices declined by more than 1 per cent," Amol Athawale, VP Technical Research, Kotak Neo said.
The IT sector emerged as a strong performer led by strong Q2FY27 results, while FMCG came under pressure amid concerns over margin pressure from elevated input costs. FMCG major Nestle India while reporting a growth in the September quarter had said "rising inflation, particularly food inflation, is a reality."
Foreign Institutional Investors (FIIs) were the net buyers on Friday, purchasing equities worth Rs 1,165.92 crore, as per the exchange data. During the week, FIIs sold equities worth Rs 8,991 crore in the Indian equity market, according to Pabitro Mukherjee Deputy Vice President Research, Bajaj Broking.
Domestic Institutional Investors (DIIs) were net buyers during the week, purchasing equities worth Rs 7,813 crore, he said. On Friday, they were net sellers offloading equities worth Rs 3,661.28 crore, as per the exchange data.
Investors will track the domestic October PMI, while the US jobless claims and Japan's inflation print will provide insights to global rate expectations.
"Going ahead, the sharp moderation in FII selling and Friday's reversal in flows suggest sentiment is stabilising, though elevated crude keeps the recovery vulnerable. Investors will track Brent crude and US-Iran developments, while domestic focus stays on Q2FY27 earnings and the RBI MPC minutes due mid-week, which should shed light on the 4-2 split over the shift to a calibrated-tightening stance," Mukherjee said.
Besides, in the primary market, Reliance Industries' digital services arm Jio Platforms will be launching its initial public offering (IPO) on October 21, which will close for subscription on October 23. The company will offer 27 crore fresh equity shares at a price band of Rs 1,065 to Rs 1,119 per share for the public issue.
At the upper limit, of the price band, the company will raise about Rs 30,213 crore, making it the largest public issue in the country. Hyundai Motor India's Rs 27,870-crore IPO in 2024 is the largest issue in India, so far.
