Markets register their best financial year performance in a decade in FY21

Despite the economy slipping into recession and all activity coming to a standstill for a few months due to the Covid-19 pandemic, markets registered their best financial year performance in a decade.

In FY21, the S&P BSE Sensex and Nifty50 have rallied 68 per cent and 71 per cent, respectively. Earlier during FY10, the S&P BSE Sensex had surged 80.5 per cent, while Nifty50 rallied 73.7 per cent.

The rally has been partly on account of strong foreign inflows on expectation of improvement in the economy after a stringent pandemic-triggered lockdown for a few months in FY21. Accommodative monetary policies