The stock market clocked gains in October after two straight months in the red, as foreign investors returned in the just-ended week. Healthcare stocks led gains during the week, even as high oil prices continue to cloud corporate earnings.
After the sell-off in the precious week, the Sensex rose 1.8% and the Nifty 50 2% over the week. The recovery helped the Sensex finish October 2.7% higher, ending a two-month losing streak after declines of 5.8% in September and 1.5% in August. The Nifty rose 1.9% in October, after declining 6.1% in September and 1.2% in August.
On Friday, the Sensex gained 0.42% to 74,459.53, while the Nifty advanced 0.51% to 23,053.1.
Foreign portfolio investors bought more than ₹14,000 crore of equities during the week, including primary-market investments. Domestic institutional investors bought another ₹7,062 crore. Indian equities found dual triggers this week as the country's largest IPO, Jio Platforms, delivered a strong debut, listing at 21.4% above its issue price. Meanwhile, the market found some solace as the US Federal Reserve held interest rates steady, though it maintained its caution on inflation.
The week’s purchases offered some relief, but foreign portfolio investors still sold a net ₹34,843 crore of Indian equities in October, according to NSDL data.