INSUBCONTINENT EXCLUSIVE:
Indian markets have turned positive for the first time since the beginning of 2019
After a 250-point rally last week, supported by a 1 per cent jump in the rupee against the US dollar, the Nifty has returned 1 per cent
since January 1 compared to a negative 2 per cent a week ago
In rupee terms, the index is up 1.1 per cent for the year till date.
The performance is mainly driven by the FIIs and index heavyweights
like ITC, Axis Bank and RIL – up 7 per cent, 4.5 per cent and 4 per cent, respectively, in the last one week in dollar terms
In terms of year-to-date performance, these stocks are up 2.3 per cent, 16 per cent and 12 per cent, respectively
The biggest drags on the index in 2019 so far have been LT, Maruti Suzuki and HUL – down 8.1 per cent, 7.7 per cent and 6.6 per cent,
respectively, in dollar terms.
With the smart gains last week, India and the US are the only markets, among the 20 most followed global
markets, that have given positive returns over the past one year
The Nifty has gained 0.1 per cent in the past one year and the Dow Jones Industrial Index (US market) has gained 2.3 per cent
This is despite the rupee falling almost 8 per cent against the greenback during the same period
In rupee terms, the Nifty is up 8 per cent
Also, India is the best performing market since early October, after rupee made a smart comeback against the US dollar
This will leave foreign investors, who own 45 per cent of Nifty’s free float, with very little to complain.
