Stock Markets moved down in the absence of any clear signals which by the way is likely to be the situation for some time. There are of course multiple other signals that markets are watching including in the United States.
Downgrades from Goldman Sachs for India’s banking sector provide an insight into the overall state of the financial system in the context of retail savers and spenders as well as of course the banks ability to make money from them.
We have been talking about how investors are shunning China and that’s true. But like markets and like investors, when the valuations go really low in one place and really high in another, they start revisiting their positions
The indices ended higher for the fifth consecutive session on Monday, usually a sign that the markets might pause to take in some air. December quarter earnings are now over and the focus is back on macroeconomic news.
In the first week of January, Kotak Securities said it believed the Nifty index was overvalued by 20% and expected a time correction in the next 6 to 9 months. This comes obviously on the back of a strong 2023 for Indian stock markets
Indian markets opened weakly on the back of Wall Street and then Asian market blues but rebounded sharply with the BSE Sensex index closing 268 points higher at 71,823. The Sensex recovered almost 1,000 points from its intra-day low.
The Reserve Bank held interest rates and left them unchanged for the sixth consecutive time as it seemed to take a larger call on growth being strong to support the current levels of 6.5% being the repo or repurchase rate