Nifty 50 historical data shows November typically favours bulls
The index has seen average gains of 2.5 per cent in November since 2001, according to Mint.
The Indian stock market is entering a period that has historically been positive for investors, according to a report by Mint. Historical data from 2001 to 2025 shows that the Nifty 50 has delivered an average return of 2.5 per cent during the month of November.
The index has finished in positive territory in 15 out of 25 years, representing a 60 per cent success rate. Jahol Prajapati, Equity Research Analyst at SAMCO Securities, noted that the month could provide a seasonal tailwind following recent weakness.
However, several challenges remain, including high crude oil prices, rupee depreciation, and continuous outflows from foreign portfolio investors (FPI). Global uncertainty and the recent US midterm election results also pose risks to market sentiment.
In the US, Democrats won control of both the House of Representatives and the Senate in the November 3 elections. Reuters reported that voter dissatisfaction regarding living costs, tariffs, and the war against Iran contributed to the Republican defeat.
Prajapati said that while the festive season and institutional activity could offer support, a lasting recovery requires better earnings and more foreign investment. He added that Diwali falls on November 8 this year, which may boost retail participation and liquidity.
SAMCO Securities stated that for a durable recovery to occur, seasonal trends must be backed by stronger fundamentals and improved participation from foreign investors.