Nifty Small Cap 100 Rebounds: Ends 7-Day Losing Streak on Feb 17

The Nifty Smallcap 100 Index represents the performance of the small-cap segment in the Indian stock market. It comprises 100 tradable stocks listed on the National Stock Exchange (NSE) and is computed using the free-float market capitalisation method. This means the index level reflects the total free-float market value of all its constituent stocks relative to a base market capitalisation value.

Sharp Decline Followed by a Reversal

On February 17, 2025, the Nifty Smallcap 100 Index opened lower and continued its downward trajectory, touching a fresh 8-month low. At one point, it appeared that the index would extend its losing streak for an 8th consecutive session. However, a late-session recovery allowed the index to close in positive territory, effectively snapping the 7-day decline.

Market Breadth Remains Mixed

Despite the rebound, market breadth remained slightly skewed towards declines. Out of the 100 stocks in the index:

• 53 stocks ended in red
• 46 stocks closed in green

Performance in 2025: A Sharp Correction

The recent decline in the Nifty Smallcap 100 Index has been significant:

• Weekly drop: In the past week alone, the index registered a sharp 9.41% decline, marking one of its steepest falls in recent times.
• Year-to-date (YTD) performance: So far in CY 2025, the index has fallen by nearly 18%.

This downturn comes after strong back-to-back gains in CY 2023 and CY 2024, highlighting the cyclical nature of small-cap stocks. 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions. 

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