The Indian equity market continued its upward trajectory for the second consecutive week, powered by a sharp rally in the final trading session. A select group of sixteen stocks within the broad-based Nifty 500 index stood out, delivering impressive double-digit gains to investors.
Market Momentum and Top Performers
The benchmark Nifty 50 index wrapped up the week with a solid gain of 1.10%, marking its strongest weekly performance since the beginning of November. A significant portion of this advance came on Friday, when the index climbed 0.70% to hit a fresh record high of 26,340, driven by robust buying in banking and metal stocks. The broader Nifty 500 index mirrored this strength, concluding the week with a 1.35% jump, its largest weekly gain in nearly two months.
Leading the pack of high-flyers was Transformers & Rectifiers, whose shares skyrocketed by 16% to close at ₹336.4 each, staging a remarkable recovery from a steep 39% decline witnessed in December. Close on its heels was Force Motors, which rallied 15% to settle at ₹21,224. This surge was fueled by the company's December sales update, which revealed a substantial 50% year-on-year jump in vehicle deliveries.
Hindustan Copper maintained its spectacular bull run, advancing 14% for the week. This marked the stock's sixth straight week of gains, resulting in a cumulative rise of 72%, largely supported by a record-breaking rally in global copper prices.
Ola Electric Mobility extended its recovery, with shares surging another 13% to ₹40.9 apiece as the market responded positively to the company's December sales figures. Other notable gainers included Graphite India and IDBI Bank, each posting gains of 13.2%.
Other Significant Gainers
The list of top performers was extensive, showcasing strength across sectors. The following companies also registered gains between 10% and 12.5%:
- Bank of Maharashtra (12.2%)
- SJVN (12%)
- Steel Authority of India (11.5%)
- Gujarat Gas (10.7%)
- HEG (10.7%)
- Indian Bank (10.7%)
- Motherson Sumi Wiring (10.5%)
- HFCL (10.2%)
- Ajanta Pharma (10%)
- Bosch (10%)
Geopolitical Tensions and Domestic Catalysts Ahead
Market experts caution that the new week could begin with volatility. This follows a significant escalation in geopolitical tensions after the United States conducted a "large-scale strike" against Venezuela early Saturday. Reports indicate that President Nicolás Maduro and his wife were captured and flown out of the country. U.S. President Donald Trump stated that America would run Venezuela temporarily and utilize its vast oil reserves.
On the domestic front, attention is shifting towards the ongoing Q3 earnings season. Ponmudi R, CEO of Enrich Money, noted that traders are likely to build selective positions ahead of results from key index heavyweights. He emphasized that beyond corporate profits, high-frequency indicators tracking industrial activity will be scrutinized to gauge the durability of the economic recovery.
Key data points to watch include the upcoming S&P Global Services and Composite PMI figures, which will provide insights into business momentum and employment trends. Manufacturing activity is expected to remain resilient, supported by favorable policies and improving rural demand.
Globally, investor focus will remain on US non-farm payrolls and unemployment data, which could influence expectations around the Federal Reserve's interest rate path. Ponmudi added that stable commodity prices and easing geopolitical tensions are likely to support market sentiment. While short-term volatility is possible, the underlying market structure remains positive, encouraging a selectively optimistic approach as 2026 unfolds.
