Markets gain on strong macro data, GST rate cuts; rupee hits fresh low

The Indian market erased some of the previous week's losses, rising 1 percent in the volatile week amid positive data points, including a 17-year high manufacturing PMI, a services PMI at a 15-year high, GST rate reforms, continued DII buying, and supportive global markets on the expectation of a rate cut by the Fed. However, investors remained worried as exports could be dampened after the US levied a 50% tariff on Indian goods.

For the week, the BSE Sensex index rose 901.11 points or 1.12 percent to finish at 80,710.76, while Nifty50 added 314.15 points or 1.28 percent to close at 24,741.

The BSE Large-cap Index rose 1.4 percent, led by Mahindra and Mahindra, Jindal Steel, Tata Steel, Eicher Motors, Swiggy, Bajaj Finance, and TVS Motor Company.

BSE Mid-cap Index gained nearly 2 percent, led by Aditya Birla Fashion & Retail, Ola Electric Mobility, Brainbees Solutions, Steel Authority of India, Rail Vikas Nigam, and NMDC.

The BSE Small-cap index added 2.5 percent with Netweb Technologies India, One Mobikwik Systems, Jai Corp, Hemisphere Properties India, Vimta Labs, Atul Auto, Gujarat Mineral Development Corporation, Rategain Travel Technologies, Zydus Wellness rising between 20-39 percent.

Among sectors, the BSE Metal index added nearly 6 percent, the BSE Auto index rose 5.2 percent, the BSE Consumer Discretionary index gained 3.6 percent, while the BSE Information Technology index shed 1 percent.

During the week, Mahindra and Mahindra added the most in terms of market value, followed by Bajaj Finance, Reliance Industries, and HDFC Bank. On the other hand, Tata Consultancy Services, Infosys, and HCL Technologies lost most of their market capitalization. (Disclaimer: MoneyControl is a part of the Network18 group. Network18 is controlled by Independent Media Trust, of which Reliance Industries is the sole beneficiary.

Selling from Foreign Institutional Investors (FIIs) continued 10th consecutive week, as they sold equities worth Rs 5,666.90 crore. On the other hand, Domestic Institutional Investors (DII) continued their buying in the 21st consecutive week, as they bought equities worth Rs 13,444.09 crore.

Indian rupee ended lower for the second consecutive week, hitting a fresh record low of 88.36 against the US dollar. The domestic unit closed 6 paise lower at 88.26 per dollar on September 5 against the August 29 closing of 88.20. During the week, the Indian rupee traded in the range of 87.98-88.36.