Nifty broke its eight-week losing streak on Friday, helped by a late-week rebound in IT, FMCG and auto shares, giving traders some relief after one of the longest periods of market weakness in 25 years. The index rose nearly 1.3%, or 289 points, on Friday to close at 22,520. For the week, Nifty ended higher by about 100 points, enough to avoid a ninth straight weekly loss. The recovery came after a sharp slide on Thursday had pushed the index near a fresh 52-week low and raised fears that the market rout would extend for another week.
What began as a correction in the last few weeks has turned into a broad risk-off move, led by foreign selling, and higher crude oil prices. Over that eight-week stretch, Nifty and Sensex lost 8.7% and 8.4%, respectively. In the previous holiday-shortened week alone, Nifty fell 3.1%, with crude near $100 a barrel, record foreign selling and a spike in global bond yields weighing on sentiment.
