Indian equity markets have moved from turbulence to relative calm this year. In the first half, the Sensex and the Nifty saw intraday moves of 1 per cent or more on 30 and 32 occasions, respectively. In the second half, which is now nearing its end, there have been only three such sessions for the Sensex and four for the Nifty.
Market participants attribute the heightened volatility in the first half to earnings disappointments and global uncertainty over US trade policy. In the second half, the absorption of adverse news, improving earnings visibility and steady domestic institutional investor (DII) flows

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