The weight of private banks in the benchmark Nifty50 index increased by around a percent in January 2022. It rose as much as 90 bps to 22.8 percent in January 2022 from 21.9 percent in December 2021, a report by Motilal Oswal stated.
The weight of public sector lenders in the benchmark was also up from 2.3 percent in December to 2.7 percent in January, it added.
Conversely, the report noted that the maximum MoM decline in sectoral weight in Nifty50 in January was seen in the IT sector. It declined 160 bps (over 1.5 percent) from 19.1 percent in December 2021 to 17.5 percent in January 2022.
Despite the decline, the IT sector has the second-highest weightage in the Nifty50 index with the financial services sector leading with 36.7 percent weight.
Meanwhile, the weight of the consumer sector has now declined to 9.1 percent in the benchmark, the report further mentioned.
Among other sectors, the report noted that the auto sector’s weight rose by 40 bps to 5.4 percent in January 2022 versus 5 percent in the earlier month, whereas the oil and gas index's weight was up 30 bps from 12.3 in December 2021 to 12.6 in January.
However, the weights of metals, cement, and capital goods in the benchmark have remained constant on an MoM basis, it added.
Looking at stocks, the report revealed that Reliance Industries, which has the highest stock weightage in Nifty50 witnessed a small hike of 10 bps in the month under review. Its weight rose to 10.9 percent in January 2022 from 10.8 percent in December 2021.
Also, another heavyweight SBI's weight in the benchmark was up 90 bps to 2.7 percent in January 2022 from 1.8 percent in December 2021, the report disclosed.
Infosys' weight in Nifty50 stands at 8.5 percent, ICICI Bank at 7.2 percent, HDFC at 6 percent, and TCS at 5.1 percent. Meanwhile, the lowest weight in the index is of Indian Oil, Shree Cement, Coal India, Hero Moto and Eicher Motors, all below 0.5 percent.