Mumbai (Maharashtra) [India]: Indian equity markets ended the final trading session of 2024 near the flatline after recovering from intra-day lows, with losses in IT and select banking stocks offset by gains in PSU, Oil & Gas, and Metal indices.
The BSE Sensex closed at 78,139, down 0.14% or 109 points, after rebounding from a low of 77,561 and hitting a high of 78,248 during the session. Similarly, the NSE Nifty 50 ended almost unchanged at 23,644.80 after recovering from a low of 23,460 and reaching a high of 23,690.
On the NSE, Bharat Electronics Limited, ONGC, Kotak Bank, Trent, and Coal India were among the top gainers, while Adani Enterprises, Tech Mahindra, TCS, Infosys, and SBI Life were the top losers. IT stocks dragged the indices, while Health Care and PSU stocks provided support.
“As we are entering 2025, we can expect possible profit booking in high-performing stocks and indexes, for which investors should be prepared. Macro factors like inflation, a weakening rupee, and high unemployment are expected to challenge market stability,” said VLA Ambala, Co-Founder of Stock Market Today. She added that foreign institutional investors (FIIs) turned net sellers in 2024, withdrawing nearly Rs. 25,000 crore, while domestic institutional investors (DIIs) made net purchases of over Rs. 5.5 lakh crore, helping stabilize the market.
Despite the flat closing, the Sensex recorded an annual gain of 8.2%, or 8,809 points, peaking at 85,978 during the year. The Nifty 50 posted an 8.8% annual rise, marking its ninth consecutive year of growth, with a cumulative gain of around 200% over the period.
Gold, Oil, and Currency Trends
Gold prices surged 26% in 2024, fueled by geopolitical tensions and central bank purchases, with silver outperforming with a 42% rise. Gold is expected to reach Rs 82,000 in early 2025. Oil prices saw a slight uptick, with Brent crude and WTI rising 0.8% but closing lower for the second consecutive year.
The Indian rupee ended at a record low of 85.61 against the dollar, marking a 0.1% drop on the day and a 2.8% decline for the year.
Market Volatility and Sector Performance
The India VIX, a gauge of market volatility, rose 3.5% to 14.47. Sector-wise, the Nifty IT index fell by 1.5%, while Oil & Gas, PSU Bank, Pharma, and Metal indices advanced.
In the primary market, Unimech Aerospace and Manufacturing made a stellar debut, listing at Rs 1,491—a remarkable 89.9% premium over its issue price of Rs 785.
Experts noted that Indian markets, like other emerging markets, faced a weak final month of 2024, continuing a three-month downward trend. Investors are now looking to Q3 corporate results and policy directions from U.S. President-elect Donald Trump, who assumes office in January 2025, for potential market catalysts.