New Delhi: Strong economic growth, range-bound crude oil prices and strong DII inflows have mitigated the impact of FII selling during the last two months, according to a report by Prabhudas Lilladher. BSE Smallcap and Midcap indices have gained 62/64 per cent in the last 12 months, which is 2.3-3.3 times more than Sensex/Nifty and BSE 100. The return difference between BSE Small/Midcap and Sensex/Nifty has been 10. -12 per cent, raising concerns over inflated valuations in small/midcaps, it said. Also Read – Atishi’s claim, Kejriwal can be arrested in 3-4 days if alliance with Congress Nifty has shown consolidation with a rise of 2.5 percent in the last six weeks as RBI kept the policy rates unchanged, 2Q (high FIIs sold Rs 316 billion amid rising prospects of no rate cuts by the US Fed before the end of the CPI). After a strong performance in the state elections, the NDA will retain power in the 2024 general elections. Oil & gas and power have been the best performing sectors, while realty, auto, metals, healthcare and capital goods have also seen strong gains. Also Read – Center warns strongly over surrogate ads hurting consumers The report said banks and consumer (FMCG, retail, QSR, durables) segments appear to be the worst performing sectors, while IT services showed some improvement. A low level of interest has been observed with. It said FII outflows stood at Rs 316 billion CyTD, while strong DII inflows of Rs 441 billion negated the impact of FII selling and enabled a 2.5 per cent rise in the Nifty CyTD. Also Read – Minor girl rescued from clutches of human traffickers, know what is the whole matter Domestic demand remains mixed as growth is led by government-driven infra capex, revival of private capex and structural developments taking place in green energy, digitalization and EVs. Is happening due to changes. “Rural recovery remains stalled and urban demand is sluggish; however, we believe underlying demand is also showing a shift in wallet share as consumers spend on emerging needs using new channels, a trend that only $5 trillion economy by 2028,” the report said.
