Mutual funds continued to prefer retail banks over corporate banks, after disappointing fourth quarter results from PSU banks. Mutual funds continued to receive inflows in May from retail investors on expectations of a normal monsoon, leading to higher growth. Equity Mutual funds received inflows of Rs4,700 crore in May, with a bulk of the money coming through the systematic investment plan. Better-than-expected corporate results coupled with expectations of a good monsoon led to sharp movement in the index. Industrial sector was the best performer as the sector leader L&T surprised positively in its Q4 results.

Source: Economic Times June 14, 2016 23:16 UTC