Recent stock market trends have drawn eerie comparisons to the period leading up to the infamous 1929 crash that triggered the Great Depression. The chart above overlays the S&P 500’s performance from January to October 1929 against its trajectory from January 2023 to February 2024, and the similarities are striking enough to give even the […]
Hong Kong-based brokerage CLSA has raised its recommendation on Indian equities to a 20% overweight, up from a 40% underweight previously. This makes India the most preferred market within CLSA’s Asia ex-Japan portfolio. The upgrade was funded by lowering exposure to China and Australia. With this, CLSA’s portfolio now deviates considerably from MSCI’s Asia ex-Japan […]
An analysis of the fund flows this year so far shows that a whopping 42% of FII’s total inflows into India’s public market in 2023 have been into into passive funds
The Indian stock markets have shown remarkable resilience in recent weeks even as global equities have faced intense selling pressure. The benchmark Nifty 50 index has fallen only marginally despite the US markets witnessing one of their sharpest corrections in years. The Dow Jones Industrial Average (DJIA) has plummeted by nearly 1,500 points or around […]
The Indian stock markets are flying high, with the benchmark Nifty 50 index having nearly doubled from its March 2020 lows. The Sensex has also hit multiple record highs this year. However, this incredible rally has pushed valuations to record levels, raising concerns if the market is overheated. Stretched Valuations Across Indian Stocks and Indices […]
Leading Indian brokerage firm Kotak Institutional Equities has sounded the alarm on the recent rally in mid- and small-cap stocks, warning clients that the sharp increase reflects “irrational exuberance” among investors rather than fundamentals. As a result, Kotak has dropped its recommended mid-cap portfolio, saying it could not justify recommending stocks trading significantly above fair […]
Kotak Institutional Equities has laid out a cautiously optimistic view on emerging market (EM) equities in its latest strategy report, arguing that select countries could benefit from favorable demographics and improving economic fundamentals. However, EMs will need to manage risks from democracy and disruption to realize their long-term potential. India will hold a pivotal position […]
Brokerage Motilal Oswal Securities Ltd said expects Nifty earnings to grow by over 20% in in the current financial year, suggesting the possibility of a similar appreciation in their stocks. It based in optimism on healthy corporate earnings in the first quarter and upbeat management commentary. MOSL pointed out that corporate earnings for the June […]
Opportunities for making money in the current equity markets in India are ‘limited’ given expensive valuations across sectors and potential risks of earnings-downgrades, Kotak Securities’ Private Client Group warned in its monthly update. “The future for the markets may not all be all rosy with headwinds arising also from international shores with the U.S. Fed […]
Even as worries of high valuation and rising interest rates in the US give pause to some investors, Axis Securities has reiterated its positive outlook on Indian equity markets in its latest report for September 2023. The broking arm of Axis Bank highlights that the structural trend for the market remains positive, however, it expects […]
Vetri Subramaniam, the chief investment officer of UTI Asset Management Company, said the United States may be seeing a ‘regime change’ in terms of interest rate policy under which the US Federal Reserve may keep its rates higher on a long-term basis. This will, in parallel, be accompanied by fiscal policies — such as enhanced […]
An analysis of the futures & options trends indicate that NSE Nifty 50 index is expected to face resistance at around 18,000-18,200 points this week, and will find support between 17500-17300. With uncertainties around Fed, Budget and global economy persisting, traders appear wary of taking large bets. This implies rangebound action will likely continue into […]
While 2023 has been a wild ride for stock investors in India so far, market volatility doesn’t mean that there aren’t enough front-line stocks with interesting tales of their own this year. There are several stocks that could outperform on the back of strong fundamentals and growth drivers, from sectors ranging from lending, IT services, […]
The upcoming 2024 general elections in India have major implications for infrastructure, capital goods and construction sector stocks in the country. The infrastructure and housing segments are key areas that will likely see policy action and initiatives to support economic growth in the run-up to elections. Infrastructure Spending Push The ruling BJP is expected to […]
In the world of finance, the relationship between U.S. Treasury bond yields and the stock market has traditionally been inverse: when bond yields rise, stocks tend to fall, and vice versa. The logic behind this inverse relationship is grounded in fundamental economic principles. Another, more recent reason is that when US treasury bond yields rise, […]
The relentless selling of stocks by foreign institutional investors or FIIs is likely to ‘taper off’ by the end of the current month, according to an analysis of FII fund flows into India by Maximus Securities Research. “The FII selling is expected to taper off by end of March’22, After which we expect normal market […]
National Stock Exchange of India said it received approval from market regulator Securities Exchange Board of India (SEBI) to launch derivatives based on the Nifty Midcap Select Index. The Exchange will launch these index derivatives from January 24, 2022. “The current availability of index derivatives on the exchange is largely focused on either the large […]
With the Indian stock markets, along with indices like the Nifty and Sensex, seeing ferocious correction today, the general advice from market experts to retail investors have been to ‘cherry pick’ stocks and rebuild one’s portfolio at these lowered valuations. However, there are also those who go against this ‘mainstream narrative’ and urge a heightened […]
Vakrangee Ltd, which runs over 13,200 digital kiosks across the country, said its franchisees will now be able to offer share trading and demat account opening services thanks to a tie-up with stock trading app Upstox. Vakrangee Kendras already offer a variety of internet-enabled services, such as bank account opening, issue of government certificates, money […]
Stock markets extended their losses on today, with the Nifty 50 falling by around 2.5% to 8,967. Among the biggest drags were ICICI Bank, which fell nearly 9%, indicating that large, foreign portfolio investors are exiting their long positions in the market. With this, the Nifty 50 index is now down 27.5% from its all-time […]
