India's equity benchmarks rebounded, after a two-month slump, as investors shrugged off concerns around rising oil prices and a trade war between the U.S. and China to focus on earnings.
The Nifty 50 Index has so far gained nearly 6 percent, making it the best April in nine years. The benchmark came off its all-time high in January, falling in February and March after a global sell-off and India’s decision to bring back tax on long-term equity gains.
Here’s why this April was different in many ways
Best April For IT In Nine Years
The NSE Nifty IT Index, the best performer among sectoral indices compiled by NSE, snapped the six-year April jinx, gaining nearly 10 percent so far this month—the best returns in nearly a decade. The gains were driven by strong March quarter earnings and the rupee depreciation.
Worst April In 12 Years For PSU Bank Index
The NSE Nifty PSU Bank Index is set for its worst April performance in more than a decade as the nearly Rs 14,000-crore fraud reported at the Punjab National Bank in February continued to weigh on state-run lenders.
VIX Slides The Most In A Decade
The NSE India Volatility Index, or the fear gauge, is has also dropped the most in a decade.
The rupee weakened for the first April in three years and depreciated the most in six years.
Foreign Investors Sell In India
Foreign institutional investors turned net sellers for the first April in six years amid global concerns such as the possibility of a U.S.-China trade tariff war.
Worst April For Gold In Six Years
Gold is set to post losses this month as a strengthening dollar and signs of improving global economic growth sap demand for the precious metal.