While the year 2006 was focused on the large-caps, specifically the Sensex scrips, the broader indices have performed better in 2007. 

The BSE 100 and BSE 200 rose by nearly 59 per cent and the BSE 500 gained over 61 per cent. But among the diversified indices, the BSE Smallcap has gone up the most, rising by 87 per cent. 

The BSE Midcap has gained by 65 per cent. In 2006, both these indices had underperformed the Sensex and even the BSE 100, 200 and 500 indices. 

Among the sectoral indices, the BSE Metal index has gained 120 per cent during the year, thanks to the steel pack, with Tata Steel [Get Quote], Sail [Get Quote] and Jindal Steel emerging as multi-baggers. 

The capital goods index has been the second best performer, giving returns of 116 per cent, as both L&T and Bhel were big winners. The oil and gas index comes next at 113.6 per cent, because heavyweight Reliance Industries [Get Quote] more than doubled. 

The BSE IT index was the only loser among the sectoral indices, as it shed 13.7 per cent in the year thanks to the depreciating dollar. 

The auto index gained by a mere 1.4 per cent due to the slow sales growth posted by two-wheelers and commercial vehicles. Healthcare too has been in a defensive mode, gaining by just 14.4 per cent. 

The stock market returns woud undoubtedly be lower in 2008, due to the likely impact of the US credit crisis on the global economy. 

Analysts have questioned the decoupling theory that states that Indian markets have disconnected from the global markets in recent times. 

Back home, companies will have to tackle the higher base of previous years and rising costs of inputs such as steel and crude oil. All eyes, in the short-term, will be on the December quarter results, which will start coming in the next few days.