The WeekendInvesting Newsletter is a daily newsletter that summarizes all the stories we cover during the day(market nuggets), including the daily byte that we shoot every evening. This newsletter will be delivered to your email every evening on market days, providing you with a wealth of market-related information. The newsletter includes both summaries and long-form blogs for all the market nuggets covered. These blogs are also link.
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Nifty – Weekly Chart Perspective
The Nifty experienced a dramatic 3% drop this week. Although a recovery of a couple of hundred points occurred on the final day, the bounce was not particularly strong. The movement suggested that the market might be seeking a capitulation phase, which occurs when investors throw in the towel feeling that nothing is left, historically marking a market bottom. While it cannot be confirmed with certainty whether this is the bottom, the sentiment felt like one might be forming.
Looking ahead to the next trading session, two positive news developments may offer support. Strong IT services results in the US could boost Indian IT stocks on Monday, while HDFC Bank finding a new chairman should also boost market sentiment. As a result, the Nifty is likely to open in the green and potentially stabilize. However, breaking key support levels between 22,200 and 22,000 would cause deep trouble by breaking down the existing pattern. While the market is not out of trouble, it sits at the edge of hope that deeper falls can be avoided.
S&P 500 Overview
Macroeconomic factors failed to provide any support this week. In contrast to India, the S&P 500 remained flat and continues to trade near or at all-time highs despite ongoing concerns surrounding war, inflation, and bond yields. India sits at the opposite end of the spectrum, trading very close to 52-week lows.
GOLD Overview
Gold also collapsed by 3% this week, struggling to sustain higher price levels.
Crude Oil, USD/INR & India Vix Overview
Currency and commodity dynamics reflect rising pressure, as the USD/INR pair hovered at 96.3 and appears poised to hit a new all-time high next week. Brent crude oil rose 5% to 102.8, further adding to market headwinds.
The VIX moved higher, and the Dollar Index, which typically hovered around 100 to 101 over recent weeks, climbed to 101.9, presenting an unfavorable signal for emerging markets.
Global Indices Overview
In dollar terms, only Brazil with a 4.3% gain and Japan with a 3.6% gain stood out positively this week. India and France ranked among the worst-performing global markets, while South Korea and the Nasdaq recorded minor gains.
India’s underperformance stems primarily from two factors: missing out on the global AI trade and a lack of competitive returns for foreign investors. For instance, if a US investor expects a 10% nominal return in INR terms from India but faces a 4% to 5% annual currency depreciation, the real return in US dollar terms drops to just 6%.
Meanwhile, US dollar bonds, which represent virtually the safest financial instruments, offer around 5.5%. Foreign investors are unlikely to get interested in India unless they foresee nominal returns of 15% to 20%, yielding a net 10% to 12% in dollar terms after accounting for inflation and currency depreciation. Resolving this yield equation would require raising domestic interest rates, which would severely hurt interest-rate-sensitive sectors of the economy. Consequently, the market remains stuck unless the US rate cycle begins to drop, which could act as a trigger to reallocate capital globally.
Global Momentum
Looking at global momentum scores across short-term, mid-term, and long-term yearly averages, South Korea’s KOSPI, Japan, and the Nasdaq hold the top three positions. At the bottom of the momentum rankings are the Nifty 50, France’s CAC 40, the Nifty 500, and China’s Hang Seng.
Benchmark Indices Overview
Over the past week, all Indian indices dropped almost evenly by 3% to 4%, with the Nifty Next 50 suffering the hardest hit. Over the past month, Indian indices lost between 4% and 7%, with small caps losing the least and mid caps losing the most. Over a three-month period, large caps registered the largest losses.
Over a one-year timeframe, broader markets show minor flattish gains, but the Nifty is down 9.7% in rupee terms, with even worse performance in dollar terms.
Over a three-year horizon, gains remain modest with the Nifty delivering an annualized return of 4.52%, while over five years, the Nifty stands at just 5% annualized. These figures leave both foreign and domestic investors dissatisfied.
Sectoral Overview
Virtually all sectors experienced declines this week, with the exception of IT, which managed a modest 0.5% gain. Metals and consumption stories performed worst, while auto stocks were severely hit following Bajaj Auto’s reported figures, which damaged market confidence. Capital market stocks also struggled, with BSE and NSE declining 4.1%, alongside drops in PSU banks. Over the past month, no single sector recorded gains, highlighted by steep cuts of 10.9% in autos and 10.1% in IT. Over the past three months, only IT stocks generated gains, though most investor portfolios lack significant exposure to IT. Pharma showed a minor defensive move of 4.5%.
In terms of sectoral momentum rankings, the top spots are held by pharma, media, and defense, whereas the bottom ranks are occupied by FMCG, Indian consumption, and infrastructure. Having critical core industries like FMCG, consumption, and infrastructure at the bottom indicates a serious market condition, as these sectors need to lead for the broader market to remain healthy.
Introducing All Seasons
Markets reward patience — but rarely make it easy.
Even index investors — owning India’s top 50 companies through the Nifty 50 — struggle to stay the course. Drawdowns hurt, flat markets drain conviction, and emotions often break compounding faster than crashes do.
That’s exactly why we built All Seasons — a simple, rule-based strategy that helps you stay invested through every phase of the market by dynamically balancing between Nifty 50 (for growth) and Gold (for stability).
📈 Growth — Nifty 50
Own India’s strongest 50 companies — the backbone of our economy. Participate in the nation’s long-term growth story without picking stocks or timing entries.
🛡️ Stability — Gold
Crises strike without warning. Gold rises when equities stumble — acting as your portfolio’s natural hedge and emotional anchor.
⚙️ The Engine Behind It
All Seasons shifts allocations every fortnight based on market conditions:
- When equities run hot, exposure trims automatically.
- When they’re beaten down, the system increases weight.
- Gold moves in the opposite direction — balancing every phase.
No guesswork. No emotion. No fear of missing out — just a calm, intelligent portfolio that adapts to markets for you.
Who is this for?
✅ Index investors who want smoother participation
✅ New investors who prefer ETFs over stock-picking
✅ Professionals who can’t invest in direct equities
✅ Seasoned investors looking to add stability to their core
✅ Anyone who wants to stay in control without daily decisions
Price: ₹4,999 per year
Recommended Capital: ₹2–30 lakh
Introducing Mi Allcap GOLD
Mi Allcap GOLD is designed for investors who want broad equity exposure with a built-in hedge. It combines:
25% Large Caps – for stability
25% Mid Caps – for growth
25% Small Caps – for alpha
25% Gold ETFs – as a permanent hedge
Mi AllCap GOLD follows a rules-based, momentum-driven approach to select the strongest stocks in each segment. The portfolio is rebalanced monthly to ensure it stays aligned with market leadership — with no human discretion involved.
Why Mi AllCap GOLD?
All-in-one exposure to all equity tiers + gold
Rebalance Frequency : Monthly
Momentum Style : Rotational
Whether you’re just starting your wealth journey or looking to anchor your core portfolio, Mi AllCap GOLD offers a powerful blend of momentum, diversification, and downside protection.
Don’t just diversify — balance wisely.
Rebalance Update
Please note that this is a biannual rebalance incorporating underlying index changes, weights have been reset hence you may see more trades than the changes due to incremental changes in continuing stocks.
