Since the beginning of October, it has posted 12 per cent gains in dollar terms. But in the year to date, the Nifty is down 2.6 per cent. In rupee terms, the index is flat since January.
Indian equities appear to be losing their edge over global peers for the first time since October, with Mumbai’s rivals catching up on generating dollar returns. To be sure, the Nifty remains among the best performing indices of the 21 most tracked globally: Since the beginning of October, it has posted 12 per cent gains in dollar terms. But in the year to date, the Nifty is down 2.6 per cent. In rupee terms, the index is flat since January.
Other emerging markets such as Russia, China, and Brazil are up in the range of 13 per cent to 18 per cent in dollar terms. Developed markets, including the US, the UK, Germany, France and Japan, are up 6 per cent to 11 per cent.
In the New Year, HDFC Bank and HDFC have weighed on dollar returns, as these two heavyweights are down 8 per cent and 4 per cent, respectively. Between them, these blue-chip financiers make up 18.3 per cent of the Nifty. Also, 10 out of 15 FII-heavy Indian stocks are in the red since January. Other heavyweights that have dragged Nifty down include L&T, Maruti Suzuki, and IndusInd bank.
Among the gainers in the period are Reliance Industries, Axis Bank, and Infosys: They advanced 8.4 per cent, 8.3 per cent and 7.6 per cent, respectively, in dollar terms since the beginning of the year.
