Geojit Financial Services Ltd

💼 The near-term trend of the market is mildly bullish. 💼 The leadership for the rally, which has taken the Nifty up by 3.2% during the last fortnight, has come from the leading banks, which are even now fairly valued and have the potential to take the market forward. 💼 The return of the FIIs is another positive, which augurs well for the largecaps. 💼 The ongoing rally can take the Nifty Bank to new record highs, lifting the Nifty further up. 💼 However, the sustainability of the rally is doubtful since the slowing Indian economy will constrain the bulls, and the FIIs may again turn sellers since there is no valuation comfort in the market. 💼 The momentum in the US market is robust, and in such a scenario, the bulls cannot be overly optimistic. 💼 Rate cut by the Fed this month is now a foregone conclusion, and this will keep the equity markets positive. 💼 The medium to long-term trend of the market is uncertain. . . . #StockMarket #inflation #GeojitOutlook #MarketUpdate #InvestmentOpportunity #EmergingMarkets #StockMarket #inflation #GeojitOutlook #MarketUpdate #InvestmentOpportunity #EmergingMarkets

💼 FIIs turning buyers in December, in total reversal of their sustained selling strategy during the last two months, has altered the market sentiments in favour of the bulls. 💼 Encouraged by the FII buying, retail investors, too, have jumped on to the buying bandwagon. This has triggered short-covering leading to sharp intra-day volatility. 💼 The 500-point swing in Nifty from the peak to the trough yesterday indicates a tug-of-war between the bulls and the bears. 💼 The best strategy in this volatile context would be to remain invested with higher weightage for largecaps, where there is valuation comfort. 💼 The policy response of the RBI and the central bank’s commentary on the growth and inflation outlook will be keenly watched by the market today. . . . #StockMarket #inflation #GeojitOutlook #MarketUpdate #InvestmentOpportunity #EmergingMarkets #StockMarket #inflation #GeojitOutlook #MarketUpdate #InvestmentOpportunity #EmergingMarkets

💼 Dow moving past 45000 for the first time is an indicator of the strength of the US market rally. 💼 The macro construct in the US - strong growth and declining inflation - supports this rally. 💼 The Fed chief Powell’s remark yesterday that the “economy is in remarkably good shape” is a shot in the arm for the US bulls. 💼 However, there is a concern that the valuations in the US are getting stretched. This concern about high valuations is true in India, too. 💼 In a bull market, valuations can get stretched and, therefore, some caution is always good. 💼 FIIs turning buyers is positive for markets, particularly for largecaps. 💼 The strength in banking stocks has the potential to take the Bank Nifty towards all-time highs. This can help Nifty, too, to move higher. . . . #StockMarket #inflation #GeojitOutlook #MarketUpdate #InvestmentOpportunity #EmergingMarkets #StockMarket #inflation #GeojitOutlook #MarketUpdate #InvestmentOpportunity #EmergingMarkets

💼 The signals from the market are a bit confusing as it has ignored the sharp slowdown in Q2 GDP growth and remains resilient despite massive FII selling. 💼 There are many likely headwinds from the Trump presidency, and valuations are elevated with Nifty trading around 20 times estimated FY26 earnings. 💼 In this context, investors should adopt a cautious investment strategy with asset allocation as the underlying principle. 💼 Since the market has been resilient amidst challenges, it makes sense to remain invested. 💼 Those with lower risk appetite can consider moving some money from overvalued mid and small caps to large caps and debt. 💼 News of Rs 71,722 crores of defence order proposals will keep defence-related stocks on the radar today. 💼 FIIs turning buyers is a positive factor that can help large caps remain resilient. . . . #StockMarket #inflation #GeojitOutlook #MarketUpdate #InvestmentOpportunity #EmergingMarkets #StockMarket #inflation #GeojitOutlook #MarketUpdate #InvestmentOpportunity #EmergingMarkets

💼 The underlying resilience of the market is evident in its ability to bounce back. The market is focusing not on the GDP growth slowdown but on the likely policy response to this slowdown. 💼 Banking stocks bouncing back yesterday indicates that the market is expecting a CRR cut on Friday, which will boost the profitability of banks. 💼 The strength in market heavyweights like Reliance and HDFC Bank can impart resilience to the market. 💼 The net FII sell figure at only Rs 238 crores yesterday is misleading since it conceals many large bulk deals. 💼 News of higher GST proposals on products like tobacco can impact stocks like ITC, while tax reductions on insurance premiums can be beneficial to insurance stocks. . . . #StockMarket #inflation #GeojitOutlook #MarketUpdate #InvestmentOpportunity #EmergingMarkets #StockMarket #inflation #GeojitOutlook #MarketUpdate #InvestmentOpportunity #EmergingMarkets

💼 The Q2 GDP shocker of 5.4% will weigh on markets, but the impact is unlikely to be big since part of the declining growth was factored in by the market after the disappointing Q2 results. 💼 A sharp cut in the market, if it happens, can be an opportunity to buy since the DIIs will continue to buy during dips. 💼 The question is: what to buy? Segments like pharma, telecom, and digital companies, which are not impacted by the slowdown, can be bought on declines. 💼 In the context of the growth slowdown, the RBI is likely to cut the CRR on 6th December. 💼 The MPC is unlikely to cut rates when CPI inflation is running at 6.2%. 💼 CRR cut will be positive for banks, and, therefore, banking stocks are likely to be resilient. . . . #StockMarket #inflation #GeojitOutlook #MarketUpdate #InvestmentOpportunity #EmergingMarkets #StockMarket #inflation #GeojitOutlook #MarketUpdate #InvestmentOpportunity #EmergingMarkets

💼 A perplexing market action in recent days is the inexplicable volatility in FII activity. 💼 A few days of buying followed by yesterday’s massive selling of Rs 11,756 crores is difficult to explain. 💼 What are the factors contributing to this apparently irrational activity? Is this a one-off? Or, is there more to come? Answers to these questions will be available in the coming days. 💼 It is better for investors to wait and watch. Lots of stock-specific actions are likely starting today in response to the inclusion of 45 new stocks to the F&O list. 💼 Buy-on-dips strategy may not yield short-term gains in this market. But this strategy can be applied by investors with a medium to long-term time horizon. 💼 Large caps in financials, IT, capital goods, and telecom are ideal for accumulation from a medium to long-term perspective. . . . #StockMarket #inflation #GeojitOutlook #MarketUpdate #InvestmentOpportunity #EmergingMarkets #StockMarket #inflation #GeojitOutlook #MarketUpdate #InvestmentOpportunity #EmergingMarkets

💼 The consolidation phase in the market is likely to continue in the near term. A clear positive for the market is the cessation of relentless selling by the FIIs. 💼 This will give confidence to the retail investors to again start buying aggressively. But there is no room for such high optimism. 💼 Strong dollar is a negative for emerging markets and, therefore, FIIs are unlikely to turn aggressive buyers. 💼 Also, large institutions would prefer to wait and watch for clarity on Trump’s policies and their likely impact on trade and the global economy. 💼 Market action could be stock-specific in response to news flows, like in the case of Adani stocks. 💼 A healthy trend in the market is the fundamentally-driven up move in quality banking stocks. 💼 The resilience in the health care segment can sustain. . . . #StockMarket #inflation #GeojitOutlook #MarketUpdate #InvestmentOpportunity #EmergingMarkets #StockMarket #inflation #GeojitOutlook #MarketUpdate #InvestmentOpportunity #EmergingMarkets

💼President-elect Trump has already started declaring what he intends to do immediately on his taking office on January 20th. 💼25% tariffs on Mexican and Canadian imports and an additional 10% tariffs on Chinese imports have already been announced. 💼How these countries react to these tariffs remains to be seen. Trump has declared only 10% additional tariffs on Chinese imports indicate that he will be careful not to trigger imported inflation in the US. 💼Market participants will be closely watching this trade space which has become unpredictable. 💼India is unlikely to be impacted in the initial phase of Trump’s tariff plan but may come under Trump’s radar soon since India has trade surplus with the US. 💼Market is likely to consolidate around the current levels since there are no immediate triggers for a breakout or a break down. 💼A major market concern from relentless FII selling is receding since they have turned buyers, though marginally. . . . #StockMarket #inflation #GeojitOutlook #MarketUpdate #InvestmentOpportunity #EmergingMarkets #StockMarket #inflation #GeojitOutlook #MarketUpdate #InvestmentOpportunity #EmergingMarkets