Mid and small cap indices come under selling pressure

Midcap and small cap stocks, which have performed well in this financial year, are underperforming the benchmark indices on Monday. The BSE Small Cap Index is one of the biggest losers in trade, down 2.4%. In comparison, Sensex is down by just 0.36%.

Among the Small Cap index components, PNB Gilts is down 12%, Ion Exchange is down 9%, Onward Technologies is down 9%, Kirloskar Brothers is down 8%, HCC is down 8%, Rajratan Global Wire is down 8%, Vascon Engineers is down 8%, Vimta Labs is down 8%.


Among the constituents of the index, KIOCL is down 7%, Amber Enterprises is down 7%, Finolex Industries is down 7%, RCF is down 6%, Indiabulls Housing Finance is down 6%, SJVN is down 6%, Star Cement is down 6%, Bank of Maharashtra is down 6%, ITI is down 6%.

Mid cap stocks are also under selling pressure

The BSE Mid Cap Index is down 1.3%. Among the stocks, Laurus Labs is down 10%, IOB is down 5%, Bank of India is down 4%, UCO Bank is down 4%, ABFRL is down 4%, IRFC is down 4%, BHEL is down 3%.

Even as the headline indices have taken a knock, small and mid cap stocks had survived the selling pressure and outperformed the headline indices.

According to Motilal Oswal Asset Management Company (MOAMC)'s Global Market Snapshot report,Nifty Midcap 150outperformed all major indexes in September by rising 3.04%.

It has risen by 12.98%, 33.37%, 29.92% in the last three months, six months and one year, respectively.

Similarly, Nifty Smallcap 250 has also performed well during the same period rising by 15.99%, 39.17%, 32.96% in the last three months, six months and one year, respectively.