Nifty Next 50 Soars 22% Annually, Midcaps Lead Market Gains in February

The report from Motilal Oswal Mutual Fund said the Midcap 150 index delivered one‑year returns of 23.08 per cent, while the Nifty Smallcap 250 gained 14.71 per cent over the year.

Mid-cap and small-cap indices also posted monthly advances, rising 1.66 per cent and 0.75 per cent, respectively.

Meanwhile, Nifty 50 declined 0.56 per cent over the last month and was down 3.91 per cent over three months but rose 13.80 per cent on a one‑year basis, the brokerage noted.

Regarding sectoral performance, the brokerage noted that Consumer Durables, Auto, and Energy led monthly gains at 9.30 per cent, 5.27 per cent and 5.43 per cent, respectively, while IT declined 19.54 per cent.

Strong domestic demand and margin tailwinds supported consumption themes, whereas IT weakness reflects global growth concerns, the report noted.

Metal and defence also posted gains of 3.49 per cent and modest losses of 0.70 per cent, respectively.

On a one‑year basis, defence, metals, and auto were standout performers with returns of 58.36 per cent, 48.93 per cent and 37.37 per cent, respectively.

Value factor continued its positive streak with a 5.9 per cent gain, while quality ended lower in February. Value has given a positive run of roughly 43 per cent over the past year, while momentum, low vol and quality factors ended lower in January. However, they have been positive over the year.

Inflation in India rose to 2.75 per cent in January, moving within the RBI's 2-4 per cent target band for the first time since August, supporting policy stability.

FIIs recorded net inflows of Rs 37,804 crore in February, including Rs 22,615 crore into equities, suggesting renewed confidence in India's macro stability and growth outlook, the report noted.

- IANS