#MarketRebound
A market rebound is underway in both global and Indian equity markets:
- US Markets:
- The S&P 500 recently closed above 6,000 for the first time since February, now within 3% of its all-time high.
- Nasdaq 100 and Dow futures showed minor declines but followed two consecutive weeks of gains, signaling ongoing positive sentiment.
- Cyclical stocks are outperforming defensives, indicating market confidence in economic health despite some weaker data.
- Analysts see the US market trading near fair value after a strong rebound from April lows, but caution that volatility may rise in coming quarters.
- Indian Markets:
- Nifty and Sensex gained over 1% and 0.9% respectively in the week to June 6, 2025[2].
- Broader indices (midcap, smallcap) are outperforming, with midcap profits up 21% YoY.
- The RBI’s rate cuts and liquidity boost have supported bullish momentum, though some caution remains as policy stance shifts to neutral.
- As of June 10, Nifty is above 25,100, with market breadth improving and most sectors in the green.
Summary:
The current rebound is driven by optimism around economic policy, earnings growth, and liquidity, but investors should remain alert to potential volatility ahead.
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