Auto, consumer durables & realty sectors lead stock market gains in May
The Nifty Next 50 continued its three-month winning streak and gained 6.42 percent in May to clock an overall gain of 12.88 percent in the three-month period, according to a report by Motilal Oswal Asset Management Company. The Nifty Midcap 150 was a close second clocking a monthly gain of 5.69 percent and a three-month gain of 10.62 percent.
The benchmark Nifty 50 was the slowest moving among the indexes gaining 2.60 percent in May. All sectors ended the month in green with Auto, Consumer Durables, and Realty each rising by more than 7 percent. The momentum factor continued its momentum & ended the month at 5.9 percent up, followed closely by Quality at 5.4 percent. Low Volatility & Value also rose by 2.5 percent & 0.4 percent respectively, the report said.
The Nifty 500 closed 3.6 percent up in May followed by mid and small-caps rising 5.7 percent and 5.5 percent, respectively. All sectors ended the month in green with Auto, Consumer Durables, and Realty each rising by more than 7 percent, the report said.
The rise in the Nifty 500 was led by Consumer Discretionary and Financial Services which contributed almost half of the returns in Nifty 500. The Nasdaq 100 continued its rally rising by 7.6 percent in May and by 30 percent on a YTD basis despite bank runs, tech layoffs and looming recession fears. The S&P 500, which is a more broad-based index, rose by 0.2 percent while the Dow fell 3.5 percent in the month of May. IT contributed the most to the gains in May.
Developed markets had a slippery slope falling by 4.6 percent which was led by a recession in Germany that impacted most of the countries in Europe. Emerging markets also fell by 0.4 percent led by South Africa & China which fell the most.
