Retail investor exuberance pushing up broader market

by IANS |



New Delhi, Nov 20 (IANS) Retail investor exuberance is pushing up the broader market. Investors should not be blinded by the recency bias and chase small caps running away without fundamental support, says V.K. Vijayakumar, Chief Investment Strategist at Geojit Financial Services.


Inspite of recent underperformance, safety is now in large caps. Since FIIs turned buyers in the cash market on two days recently, they are unlikely to sell big and may again buy on favourable developments, he said.


There is momentum in large-cap IT stocks. The expectation that US will not tip into a sharp recession has improved the prospects for IT. Autos, telecom, capital goods and construction-related segments are likely to remain resilient. Banking stocks bouncing back is only a matter of time, he said.


"The ongoing rally in the mother market US triggered by declining bond yields makes the market construct slightly favourable for the continuation of the rally in India," he added.


BSE Sensex is trading down 25 points at 65,769 points on Monday.


M&M is top loser down more than 2 per cent.



Latest News
Threat to police: Should we let off BJP MLA just because he is a MLA, law is same for all: K'taka CM Sat, May 25, 2024, 04:20 PM
Israel must obey UN court on Rafah, says EU foreign policy chief Sat, May 25, 2024, 04:16 PM
AIADMK to stage protest over TN govt's failure to receive water share from neighbouring states Sat, May 25, 2024, 04:14 PM
IPL 2024: Avesh has shown how good he has been throughout the tournament, says Sangakkara Sat, May 25, 2024, 04:08 PM
NDA won't spare those who looted Bihar, this is Modi Ki Guarantee: PM Modi Sat, May 25, 2024, 03:34 PM
Mullaperiyar dam issue: TN asks EAC to reject Kerala's proposal Sat, May 25, 2024, 03:32 PM
J&K: Anantnag-Rajouri constituency witnesses 35.61 pc voter turnout Sat, May 25, 2024, 02:52 PM
US-China trade war deepens as tariff exclusions end on hundreds of Chinese products Sat, May 25, 2024, 02:28 PM
Delhi Police chief reviews security amid heavy deployment for peaceful polling day Sat, May 25, 2024, 02:26 PM
Karnataka town tense after violence over custodial death Sat, May 25, 2024, 02:20 PM
In age of LED bulbs, lantern lights up just one house in Bihar: PM Modi Sat, May 25, 2024, 02:18 PM
Australian minister urges Israel to abide by ICJ Rafah ruling Sat, May 25, 2024, 01:17 PM
People often get emotional when they try Vision Pro for first time: Tim Cook Sat, May 25, 2024, 01:14 PM
WhatsApp's new feature lets you see all media shared in community group chats Sat, May 25, 2024, 01:07 PM
Voting underway for third phase of polling in Odisha, EVM snags delay process Sat, May 25, 2024, 01:04 PM