Posted at 10:36 AM , on December 8, 2016
November was always supposed to be a tumultuous month for markets considering US elections and Fed rate outlook. However, the demonetization drive actually spooked the Nifty. Of course, FII selling also played its part in depressing prices during the month. Here is a low-down on sectors impacting the overall markets in November…. Continue reading
Posted at 5:46 PM , on July 20, 2015
What every Indian investor needs to ask…
After touching a peak of 9122 in March 2015, the Nifty has drifted in a range of 1000 points. Typically, any move closer to the 8000 level has attracted buying support and any move closer to the 9000 mark has attracted selling. It is time to ask a pertinent question. Are current valuations for Indian markets justified? Or are we thriving on hope? Continue reading
Posted at 3:33 PM , on June 23, 2015
What should be your strategy in these volatile markets…?
The market index, like it happens so often, does not tell the whole story. From its peak, immediately after the Union Budget, the Nifty has corrected close to 13%. But, scratch the surface and the real story starts unfolding. You have companies like Sun Pharma, Lupin, and Asian Paints that have corrected over 20% during the same period. Private Banks have been through a similar ordeal. I am not even talking about PSU banks, which have lost half of their value. What does this mean for investors and how to approach markets? Continue reading
Posted at 11:25 AM , on April 21, 2015
After almost getting within striking distance of their all-time highs, the Nifty and Sensex fell vertically over the last 3 trading days of the week. Why exactly did they fall so rapidly and what were the triggers? There are 4 such triggers!
It is all about the ETFs…
Exchange Traded Funds (ETFs) are powerful global passive investors. Passive in the sense, they don’t bother about outperforming stocks, and specific stock performances. They just buy the index if they like a particular market. Since the beginning of March 2015, over 85% of the money that came in was in the form of passive ETF money. Just as the ETF buys all stocks in the index in the ratio, it does the same when selling. These ETFs are typically driven by news and valuations. Not surprisingly, they hit the 2 high/PE sectors viz. Pharma and Technology. To combine with rich valuations there was cross currency risk. Continue reading