NIFTY 50

NIFTY 50 — Grokipedia Fact-checked by Grok 1 month ago NIFTY 50 Ara Eve Leo Sal 1x The NIFTY 50 is a benchmark stock market index that tracks the weighted average performance of 50 large-cap companies listed on India's National Stock Exchange, representing 12 major sectors of the economy and selected based on free-float market capitalization, liquidity, and other eligibility criteria. [1] [2] Computed using a free-float market capitalization-weighted methodology, the index has a base date of November 3, 1995, with an initial value of 1,000, and it captures approximately 55% of the total free-float market capitalization of stocks traded on the NSE. [1] [2] Launched with an inception focused on reflecting overall market conditions through diversified, liquid constituents, the NIFTY 50 serves as a primary reference for benchmarking investment portfolios, index funds, exchange-traded funds, and equity derivatives traded on the NSE. [3] [4] In January 2026, the Nifty 50 exhibited a general downward trend, starting the month with a closing price of 26,146.55 on January 1 and ending at 25,320.65 on January 30. Weekly closing prices (on the last trading day of each week, typically Friday) were: Week ending Jan 2: 26,328.55 Week ending Jan 9: 25,683.30 Week ending Jan 16: 25,694.35 Week ending Jan 23: 25,048.65 Week ending Jan 30: 25,320.65 Note: January 26 was a holiday (Republic Day), and there was no trading on Jan 31 (Saturday). Data reflects trading days only. [5] On February 23, 2026, the Nifty 50 closed at 25,713.00, up 0.55% from the previous close. Open: 25,678.40; High: 25,771.45; Low: 25,626.50. The index had a trailing price-to-earnings (P/E) ratio of 22.28, price-to-book (P/B) ratio of 3.46, and dividend yield of 1.22, based on data from the National Stock Exchange of India (NSE). Prices and ratios may vary slightly across sources. [5] On February 24, 2026, the Nifty 50 closed at 25,424.65, down 1.12% from the previous day's close of 25,713.00. Open: 25,641.80; High: 25,641.80; Low: 25,327.60. [5] On February 25, 2026, the Nifty 50 closed at 25,482.50, rebounding strongly after a sharp selloff on February 24 triggered by fears over Anthropic's AI advancements disrupting IT services revenues. The index rallied above 25,600 (intraday gain of over 600 points from the February 24 close of 25,424.65), led by IT stocks such as Tech Mahindra and HCL Technologies (up to 3%). Bank Nifty closed at 61,043.35, showing positive bias and maintaining support above 60,600 levels amid the broader recovery. The Sensex closed at 82,276.07. The rebound was driven by easing AI disruption fears in IT, positive global cues, though caution remained due to geopolitical tensions and sector pressures. [6] [7] [5] On February 26, 2026, the Nifty 50 closed at 25,496.55, up 14.05 points or 0.06%, after a volatile and choppy session that ended flat. The BSE Sensex closed at 82,248.61, down 27.46 points or 0.03%. Early gains were erased amid global uncertainties such as U.S.-Iran tensions and tariff concerns, with mixed sectoral performance including gains in healthcare, pharma, and IT, while drags appeared in FMCG, media, and financials. [8] [5] As of February 27, 2026, around 14:31 IST (market open), the Nifty 50 index was trading at approximately 25,300 (ranging from 25,293.50 to 25,303.50 across sources), down about 200 points (-0.8%) from the previous close of 25,496.55. The day's range was 25,268.70 to 25,476.40. Slight variations may appear across sources due to real-time updates; for example, Yahoo Finance showed values in the same approximate range at similar times. [5] [9] On March 2, 2026, the Nifty 50 closed at 24,865.70, down 312.95 points or 1.24% from the previous close of 25,178.65. As of the close on March 2, 2026, the 200-day simple moving average was 25,486.08. The index opened at 24,659.25, reached a high of 24,989.35, and a low of 24,603.50. Bank Nifty closed at 59,839.65, down 1.14%. The decline occurred amid high market volatility with significant price swings in many stocks, attributed to geopolitical tensions in the Middle East and rising crude prices. [5] [10] [11] On March 3, 2026, the National Stock Exchange (NSE) was closed for the Holi holiday, with no trading activity. [12] On March 4, 2026, as of 9:22 AM IST (market open), the Nifty 50 spot price was 24,382.20 INR, down 483.50 points (-1.94%) from the previous close of 24,865.70 INR. [5] As of 11:02 IST on March 4, 2026, the Nifty 50 index was trading at 24,396.15, down 469.55 points (-1.89%) from the previous close of 24,865.70, with the Indian stock market open in normal status. [5] As of March 5, 2026 (around 11:00-11:20 IST, market open), the Nifty 50 index was trading at 24,660.30, up 179.80 points (+0.73%). Open: 24,615.95; High: 24,672.80; Low: 24,530.05. The Sensex was trading at 79,547.65, up 431.46 points (+0.55%). Open: 79,530.48; High: 79,680.66; Low: 79,217.14. The Indian stock market showed gains after the previous day's losses due to geopolitical tensions, with recovery supported by more advancing stocks and value buying despite ongoing Middle East and Iran-related concerns. [5] As of early March 2026 (latest data around March 6-9), technical analysis indicated a bearish bias for the Nifty 50 in some analyses, with strong sell signals from key indicators including an oversold RSI near 24, a MACD sell signal, and sell signals across all major moving averages. The India VIX spiked above 21 on March 4 due to heightened market volatility, closed at 17.86 on March 5, and traded around 18.43 intraday on March 6. Key support levels were around 24,256 (immediate/positional), with additional near-term supports in the 24,337-24,500 range, lower supports at 24,000-24,386, intraday supports near 24,076-24,330, and major psychological support at 24,000. Resistance levels included 25,000-25,193, with higher resistance up to 25,774, and intraday resistances near 24,571-24,826. A decisive break below 24,000 could trigger intensified downside pressure and higher volatility. Contributing risks included foreign institutional investor (FII) activity, with net selling of ₹-3,752 Cr on March 5 following strong net inflows in February 2026, elevated volatility as reflected in India VIX levels, and adverse global cues. In the broader market context, the Nifty Smallcap 250 PE ratio stood at approximately 25.4-25.6, assessed as moderately undervalued. [13] [5] On March 6, 2026, the Nifty 50 closed at 24,450.45, down 315.45 points or 1.27% from the previous close, while the BSE Sensex closed at 78,918.90, down 1,097 points or 1.37%. [5] On March 7, 2026, the Indian stock markets (NSE and BSE) were closed as it was a Saturday, a regular non-trading day (weekend). No trading activity occurred, and there are no opening or closing index values for that date. Market sentiments were cautious to bearish heading into the weekend, based on the sharp declines on March 6. Analysts reported nearly 3% weekly losses for the Nifty 50, attributed to escalating geopolitical tensions in the Middle East (particularly Iran-related), surging crude oil prices (Brent near $86-95/barrel), significant FII outflows exceeding ₹21,000-23,000 crore, and broader global risk aversion. High volatility was evident from the rising India VIX. Rate-sensitive sectors such as banking, auto, and realty faced pressure, while defence and capital goods showed relative resilience. The outlook for the next trading day, March 9, indicated a negative opening (with GIFT Nifty around 24,300), continued caution was advised, with selective opportunities in pharma, defence, and energy sectors, while investors were recommended to avoid panic selling. [5] The Indian stock market exhibited significant volatility in early March 2026, driven by geopolitical tensions in the Middle East (including Israel-Iran developments and rising oil prices) alongside broader global market cues. The month began with a sharp drop on March 2, followed by a recovery on March 5 (when the Nifty 50 rose above 24,750 and the Sensex surpassed 80,000 during trading), before a pullback on March 6. This bearish momentum persisted over the weekend closure on March 7. The outlook for the remainder of March remained cautious, with short-term bearish sentiment reflected in expectations of a negative opening on March 9 and potential continued pressure from these ongoing global risks. [5] These short-term declines align with historical patterns for the Nifty 50 in response to major geopolitical events, wars, and oil shocks. Such events have typically resulted in temporary market corrections of 5-18% lasting weeks, driven by investor risk aversion and elevated oil prices, given India's status as a net oil importer. However, recoveries are typically strong, with positive returns over 3-6 months and often substantial gains over 1-2 years (detailed in the Performance Statistics section). [14] The Indian stock market (NSE and BSE) was closed on March 8, 2026, as it was a Sunday, a regular non-trading day (weekend). No trading activity occurred, and there are no opening or closing index values for that date. The prior trading session was on March 6, 2026 (Friday), when the Sensex closed at 78,918.90 (down 1,097 points or 1.37%) and the Nifty closed at 24,450.45 (down 315.45 points or 1.27%). The NIFTY 50 accounts for over half of the NSE's free-float market capitalization and has demonstrated long-term compounded annual growth reflecting India's economic expansion, with historical returns underscoring its role as a barometer for large-cap equity performance amid periodic market cycles driven by domestic reforms, global factors, and sector-specific dynamics. [1] [2] [4] [15] Overview Definition and Purpose The NIFTY 50 is a benchmark stock market index comprising 50 large and liquid companies listed on the National Stock Exchange of India (NSE), representing key sectors of the Indian economy. It tracks the weighted performance of these constituents using a free