BSE Consumer Durables index up 12 per cent in nine trading sessions

BSE’s Consumer Durables index has been having a spectacular run on Dalal Street as the index has risen as much as 12 per cent in the last nine trading sessions since December 26, 2016.

The Consumer Durables index was one of the battered index post demonetisation move by the government on November 8 as it was directly linked with consumers' spending and any impact on consumer propensity to spend was bound to take a toll on the respective companies operating in this space.

However, an improvement in the cash crunch situation in the country has led to a sharp surge in the share price movement of these companies.

Post November 8, the index had declined as much as 14.5 per cent from its close prior to pre-demonetisation announcement. The index touched its lowest in point on November 21 at 10670.. Since then, the index has been recovering quite nicely. However, the index seems to have shifted gears post-Christmas.

With the cash crunch situation improving in the country, consumer durable companies like Voltas, Symphony, PC Jeweller, Nilkamal and Titan have recovered substantially from their lows.