Nifty Smallcap 100 Index Falls Over 8% In February So Far

The Nifty Smallcap 100 Index, designed to track the performance of the small-cap segment, is witnessing a challenging month. As of 2:39 PM on February 24, 2025, the index is down nearly 1%, with 78 out of 100 stocks in the red. Notably, 65 stocks are trading with losses ranging from -3% to 0%, reflecting broad weakness in the small-cap segment.

This slump extends beyond a single session. So far in February 2025, the index has declined by 8.31%, bringing it dangerously close to its worst-ever losing streak in February. If it ends the month in the red, this will mark 4 consecutive years of February declines—an unprecedented trend for the index.

A Repeating Pattern? Historical February Performance

The small-cap segment appears to have developed a February curse. The Nifty Smallcap 100 Index recorded the following February losses in previous years:

• February 2022: -11.44%
• February 2023: -3.64%
• February 2024: -0.31%

This streak has raised concerns among market participants. If 2025 also ends negatively, it will be the first time in history that the index has logged 4th consecutive February losses.

Déjà Vu: Parallels to the COVID Sell-Off

The current downturn in small-cap stocks draws parallels to the COVID-induced market turmoil in 2020. That year, small-cap stocks faced a similar wave of selling pressure in the month of February as risk aversion gripped investors. 

Key Takeaways

• The Nifty Smallcap 100 Index is down 8.31% in February 2025. 
• If the index ends in red, it will be the 4th consecutive year of February declines.
• Historical data suggests that February has been a challenging month for small-cap stocks.

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