I expect the Nifty to correct further by another 200-300 points said Sudip Bandyopadhyay
Representative image
Mumbai: While the equity markets closed at their lowest level since October 2014 after suffering their worst single day fall in the last six and a half years, market pundits do not see this as an ideal time to do bottom fishing even though the valuations have started looking attractive.
They feel that the markets could see further correction as jittery global investors continue to remain risk averse due to China-led global growth concerns. The US markets, which opened later in the day, are trading deep in the red, which is likely to result in fresh selling in Asian markets on Tuesday. “The valuations are looking attractive, but the markets are highly volatile.
I expect the Nifty to correct further by another 200-300 points. So it would be better to wait for the markets to stabilise,” said Sudip Bandyopadhyay, MD and CEO, Destimoney Securities.
Since the rupee has depreciated sharply against the dollar, Mr Bandyopadhyay said that investors could look at picking up stocks in sectors such as IT, mid cap pharma, automobile and auto ancillary once the market regains momentum.
Others feel that investors could make fresh investments as the Indian equity markets are one of the best in the emerging market universe. “There has been no change in India’s fundamentals over the last few weeks. Our markets are falling because we are caught in a global risk-off trade. After the fall, the valuations are looking reasonable and any further drop will be a good opportunity to buy,” said Ambareesh Baliga, senior research analyst.
“India’s fundamental is looking good with fall in crude and global commodity prices,” said Dinesh Thakkar, CMD, Angel Broking.
( Source : deccan chronicle )
Next Story
