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Below the Quote on Daily Market Commentary by Mr. Siddhartha Khemka, Head - Research, Wealth Management, Motilal Oswal Financial Services Ltd

Nifty witnessed pressure throughout the session, closing near day’s low at 24,549 (-0.4%). Broader markets finally witnessed selling after a 14 day gaining streak with Midcap Index down 0.5% while Smallcap index fell 1%. Over the last 15 trading sessions (i.e. since 21st Nov), Nifty Midcap 100 and Smallcap 100 indices have gained 8.5% and 10.6% respectively compared to 5.1% gains in Nifty50, which signals underlying strength in the Indian markets. The smallcap index made a new high of 19,716 on Wednesday, surpassing its previous high of 19,641 in Sep’24. On the sector front, only IT and Metals managed to close in the green. The Nifty IT index surged 0.8%, boosted by gains in U.S. tech stocks after the U.S. posted in-line retail inflation data, reinforcing expectations of a 25bps rate cut by the Fed Reserve next week. The Metals index closed higher, supported by news that the government is considering imposing a safeguard duty on steel imports. After two days of net buying, FIIs turned sellers on Wednesday, offloading equities worth Rs.1,012 crore, which dented market sentiment. India’s November CPI inflation eased to 5.48%, compared to 6.2% in October, while industrial production (IIP) for Oct’24 came in at 3.5%, in line with expectations. We expect markets to trade in a range with a positive bias, on the back of easing retail inflation and favourable global cues.

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