The stellar run on Wednesday & Thursday helped the market close with a percent gain amid volatility in the week ended December 3, as investors and traders kept a close watch on new Covid variant Omicron that created lot of uncertainty globally. The fall in oil prices, good GDP growth in Q2FY22, and further uptrend in Manufacturing PMI also supported the equity, though rising expectations for faster Fed tapering limited upside.
Apart from that short covering and value buying in most beaten down quality stocks including index heavyweights also pushed the market higher. The BSE Sensex rallied 589.31 points to 57,696.46, and the Nifty50 climbed 170.25 points to 17,196.70, while the broader markets also joined the rally, with the BSE Midcap and Smallcap indices rising around 1.35 percent and 1.25 percent respectively.
Experts feel the market is expected to remain volatile in the coming week as well, amid Monetary Policy Committee meeting, Omicron uncertainty, and economic data.
"With a slew of events on the horizon, traders should brace themselves for an action-packed week. Market players will attempt to read between the lines of the RBI's monetary policy outcome," says Yesha Shah, Head of Equity Research at Samco Securities.