JSW Steel has hit a new 52-week high today at Rs.383.20, up over 4.6% and it remains firmly buoyant and in the green.
The stock is celebrating its addition into the benchmark Nifty50 Index, replacing Lupin. This is the second steel stock in the Nifty50 after Tata Steel.
It is usually seen that index funds align their holdings with market index, investing in stocks that form the index in proportions equal to weightage of those stocks in the index. Thus, inclusion or exclusion of any stocks from the index has a corresponding and immediate impact on the stock price.