Major indexes gained for the second week in a row, mirroring favourable global indications. The NSE’s monthly F&O contracts expired on Thursday, causing trading to be erratic. The Nifty closed over 16,350 points.

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The Sensex gained 558.27 points, or 1.03%, in the week ending Friday, May 27, 2022, to close at 54,884.66. The Nifty 50 index rose 86.30 points, or 0.53%, to 16,352.45. The BSE Mid-Cap index increased 10.89 points, or 0.05%, to 22,517.74. The BSE Small-Cap index dropped 729.72 points, or 2.77%, to 25,621.57.

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How equity benchmarks performed on a weekly basis:

Monday, May 23, 2022 

On Monday, the domestic market indices erased intraday gains and finished with minor losses. The S&P BSE Sensex, fell 37.78 points, or 0.07%, to 54,288.61. To 16,214.70, the Nifty 50 index fell 51.45 points, or 0.32%.

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Tuesday, May 24, 2022 

Following a turbulent day on Tuesday, the major market indexes closed down. The S&P BSE Sensex lost 236 points, or 0.43%, to 54,052.61. To 16,125.15, the Nifty 50 index fell 89.55 points, or 0.55%.

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Wednesday, May 25, 2022 

Domestic market indexes fell substantially on Wednesday, deepening drops for the third consecutive day. The S&P BSE Sensex, fell 303.35 points, or 0.56%, to 53,749.26. To 16,025.80, the Nifty 50 index declined 99.35 points, or 0.62%.

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Thursday, May 26, 2022 

The major market indices concluded the day with robust gains, ending a three-day losing trend. Positive global indications aided value investing in domestic stocks. The S&P BSE Sensex increased 503.27 points, or 0.94%, to 54,252.53. To 16,170.15, the Nifty 50 index rose 144.35 points, or 0.90%.

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Friday, May 27, 2022 

The major market indices finished the day with robust gains, mirroring favourable global trends. The S&P BSE Sensex increased by 632.13 points, or 1.17%, to 54,884.66. To 16,352.45, the Nifty 50 index gained 182.30 points or 1.13%.

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What happened in the Global markets:

India

The government slashed excise tax on petrol by Rs 8 per litre and diesel by Rs 6 per litre on Saturday to help purchasers who have been hit by high fuel costs, which have also driven inflation to multi-year highs. After accounting for the impact of other taxes, the excise duty drop will result in a reduction of Rs 9.5 per litre on petrol and Rs 7 per litre on diesel. The finance ministry announced export duties on 11 iron and steel intermediates and reduced import duties on three important raw materials used in steel manufacture. The new duties went into effect on Sunday, May 22, 2022.

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China

China has declared that it will provide more than 140 billion yuan ($21 billion) in additional tax assistance to help offset the economic burden of the coronavirus lockdowns. On Wednesday, Chinese officials conducted an unprecedented countrywide teleconference in an attempt to strengthen an economy ravaged by Covid, with Premier Li Keqiang warning of challenges “even greater than the severe shock of the pandemic in 2020.” 

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New Zealand

The Reserve Bank of New Zealand declared another rate rise of 50 basis points. The Central Bank stated on Wednesday that it will raise its cash rate by 50 basis points to 2%. 

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United States

According to Fed minutes disclosed on Wednesday, authorities in the United States are ready to proceed with additional 50 basis point interest rate rises. The Federal Open Market Committee also stated that policy may have to shift from “neutral” to “restrictive.” On the statistical front, updated estimates reveal that the world’s largest economy declined at a yearly pace of 1.5% in the first quarter, slightly lower than the prior estimate of 1.4%. Last week, the number of Americans submitting new unemployment claims decreased. The Labor Department said on Thursday that initial applications for state unemployment benefits fell by 8,000 to a seasonally adjusted 210,000 for the week ending May 21.

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Europe

For the Euro Zone in May, the flash purchasing managers’ index (PMI) reading stood at 55.8, slightly ahead of estimates, as business growth across the continent slowed but remained resilient. Global fears over inflation and growth are widespread and continue to weigh on mood. German GDP increased by 0.2% in the first quarter of 2022, according to the Federal Statistics Office, as Europe’s largest economy escaped a recession due to strong construction and industrial investments.