How Much Did Nifty Smallcap 250 Increase in Q1 FY26?
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Synopsis
In June, the Indian stock market showcased remarkable performance, led by the Nifty Smallcap 250 index with a notable gain of 5.73 percent. The impressive growth across various segments highlights the resilience and potential of the stock market in the current economic landscape.
Key Takeaways
- Nifty Smallcap 250 increased by 17.83 percent in Q1 FY26.
- Nifty Midcap 150 rose by 15 percent in the same period.
- Overall market positivity with large-cap indices also gaining.
- Sectoral performance was strong, excluding FMCG.
- Global markets showed resilience, particularly in the IT sector.
Mumbai, July 3 (NationPress) The Indian stock market experienced remarkable growth in June, with the Nifty Smallcap 250 index leading the charge, showcasing a significant increase of 5.73 percent, according to a recent report released on Thursday.
Following closely was the Nifty Midcap 150, which rose by 4.09 percent during the month, based on data compiled by Motilal Oswal Asset Management Company (AMC).
Both small and mid-cap stocks not only provided impressive returns in June but also demonstrated strong performance over the last three months.
In Q1 FY26, the Nifty Smallcap 250 surged by 17.83 percent, while the Nifty Midcap 150 increased by 15 percent in the same timeframe.
Large-cap indices joined in on the upward trend as well, with the benchmark Nifty climbing by 3.1 percent and the Nifty Next 50 up by 3.35 percent in June.
The broader Nifty 500 index registered a monthly increase of 3.58 percent, mainly bolstered by sectors like financial services, consumer discretionary, and commodities.
The microcap sector also thrived, with the Nifty Microcap 250 recording a 3.03 percent gain in June, demonstrating widespread participation across all market segments—large, mid, small, and microcaps—each finishing the month positively.
Among sectoral indices, all categories witnessed positive returns, with the exception of the FMCG sector. The IT sector, which faced challenges throughout the year, performed relatively better in June, achieving a return of 4.36 percent.
Investment strategies reflected positivity across all factor-based indices, with the Momentum index emerging as the leading performer.
Global markets also had a robust month, as the S&P 500 surged by 4.96 percent in June, with the IT sector contributing over 60 percent of its total returns.
Among emerging markets, Korea led the gains, while Germany topped the charts among developed nations.
Commodity trends were mixed; crude oil prices jumped 7.11 percent during the month, fueled by escalating geopolitical tensions between Iran and Israel.
Meanwhile, silver prices surged 8.75 percent in June, significantly outperforming gold, which remained relatively stable.
The report noted that “both precious metals have provided returns exceeding 20 percent so far in 2025.”
Point of View
I observe that the recent performance of the Indian stock market underscores a robust recovery across various segments. The gains in small and mid-cap stocks highlight the growing investor confidence, and it's essential to remain vigilant and informed about market trends to navigate potential opportunities.
NationPress
03/07/2025
Frequently Asked Questions
What is the Nifty Smallcap 250?
The Nifty Smallcap 250 is an index that represents the performance of the 250 smallest companies in the Indian stock market, providing investors with insights into the small-cap segment.
How did the Nifty Midcap 150 perform?
The Nifty Midcap 150 recorded a growth of 4.09 percent in June, indicating a strong performance within the mid-cap sector.
What sectors contributed to the market gains?
Key sectors like financial services, consumer discretionary, and commodities played a significant role in supporting the overall gains in the stock market.
What trends were observed in the global markets?
Global markets experienced a robust month, with the S&P 500 rising by 4.96 percent, largely attributed to the IT sector's performance.
How did commodities fare during this period?
Commodities showed mixed trends, with crude oil prices rising by 7.11 percent, while silver prices increased by 8.75 percent, significantly outperforming gold.
