Nifty Still 8% Below Record High as Midcaps Near Full Recovery: Report
MUMBAI — India’s benchmark Nifty index still needs to gain about 8 percent from its July-end level to return to its record high, while midcap and smallcap stocks have recovered much closer to their previous peaks, according to a report by Abakkus Mutual Fund.
The report said the Nifty, which reached a record high of 26,329 on Jan. 2, 2026, remained well below that level at the end of July.
Broader market indices, however, have staged a stronger recovery. The Nifty Midcap 150 was just 0.14 percent below its record high of 23,171, reached on July 21, 2026, while the Nifty Smallcap 250 needed a 3.92 percent gain to return to its previous peak.
The figures suggest investors have favored midcap and smallcap stocks during the recent market rebound, helping those segments recover more quickly than large-cap shares.
Abakkus Mutual Fund also examined the history of market corrections since 1991 and found that pullbacks are a regular feature of equity markets.
The Nifty 50 has experienced 27 minor corrections of between 5 percent and 10 percent over the past 35 years, or about one every 1.3 years, according to the report.
Declines of between 10 percent and 20 percent have occurred 13 times, averaging roughly once every 2.7 years. Major bear markets, defined as declines of more than 20 percent, have occurred nine times, or approximately once every 3.9 years.
One of the sharpest declines came during the Covid-19 market crash in 2020, when the Nifty fell 38.4 percent in just 69 days. The index subsequently recovered all of those losses within about 300 days.
The deepest correction in the benchmark’s history came during the global financial crisis, when the Nifty dropped nearly 60 percent from its peak and required more than 1,000 days to fully recover.
The report also reviewed recovery trends in the Nifty 100 over the past two decades, highlighting how the duration and severity of market downturns can vary widely across economic cycles. (Source: IANS)
