- The possibility of foreign investment increasing in the Indian stock market, the Fed rate cut will also play a significant role
India has overtaken China in global equity index for the first time. India's weightage in the Morgan Stanley Capital International (MSCI) investable large, mid and small cap index rose to 2.35%. Which is higher than China's 2.24% weightage. This can increase foreign investment in the Indian stock market.
Morgan Stanley said in a report that India's stock market has outperformed China's due to strong investment amid steady economic growth. In fact, India is one of the best performing stock markets in the entire world. Its benchmark index Nifty 50 has gained 17% so far this year. Sensex has also risen by an average of 15%. On the other hand, China's Shanghai Composite Index fell by around 9%. Investors around the world are concerned about the growth of the Chinese economy, especially the property sector.
A team of analysts led by Morgan Stanley's Jonathan Garner wrote in a report that India's continued good economic growth in global indices is due to the rapid listing of new companies on the stock market. India's growth in global indices is accelerating due to cash glut. According to these experts, India's nominal GDP growth rate is currently 18-20%. This is three times more than China. The effect of inflation is not subtracted from the nominal GDP growth rate.
IT, technology and oil shares fell ahead of the Fed decision Sensex and Nifty closed off intraday highs on profit booking in IT, technology and oil shares ahead of the eagerly awaited US Fed decision on interest rates. The Sensex closed down 131.43 points at 82948.23. Intra-day rose 246.72 points to hit a new all-time high of 83326.38. While Nifty closed down 41 points at 25377.55. The intra-day rose 63.65 points to touch a fresh high of 25,482.20. Investors' capital decreased to 467.73 lakh crores. Sentiment has been cautious with market breadth remaining negative. Out of total 4070 traded on BSE, 1520 scrips advanced and 2455 scrips declined. Which shows that the market sentiment has been pro-safety with the market breadth being negative. Sensex pack gained 11 scrips. Foreign investors bought 1153.69 crores and domestic investors also bought 152.31 crores.
Kalana Ispat will raise 32.59 crore through IPO Kalana Ispat Ltd, a manufacturer of premium quality steel billets, has proposed to open its initial public offering on Sept 19 to raise ₹32.59 crore and list its shares on the NSE Emerge platform. The IPO price is fixed at Rs.66 per share. Lot size is 2000 per equity share.
Image Credit: (Divya-Bhaskar): Images/graphics belong to (Divya-Bhaskar).
