Short-term volatility, sectoral shifts, FII selling: Sunil Subramaniam’s take on markets
Sunil Subramaniam attributed the recent uptick to domestic fund managers selectively deploying their cash reserves despite sustained selling by foreign institutional investors (FIIs).
«This week, the reason for the slight uptick is that domestic fund managers, who are still sitting on a lot of cash, have engaged in some selective buying. FIIs have continued their selling,» he stated.
The key factor influencing domestic fund inflows, he explained, is the removal of uncertainty around tariffs. «The uncertainty around tariffs is now localized to a specific tariff that is going to come in. So, the removal of uncertainty means that you can pick those that are not going to be affected by the tariff and step in,» he noted.
Also read: Fairly priced or still risky? Puneeta Sinha breaks down India’s market amid volatility
However, he cautioned that domestic funds are likely to continue deploying cash gradually, while FIIs remain wary of the emerging markets landscape, including India. «I see FIIs continuing to be nervous about the overall emerging market pack, including India,» he added.
Stock Trading
Maximise Returns by Investing in the Right Companies
By — The Economic Times, Get Certified By India's Top Business News Brand
Stock Trading
Renko Chart Patterns Made Easy
By — Kaushik Akiwatkar, Derivative Trader and Investor
Stock Trading
Candlesticks Made Easy: Candlestick Pattern Course
By — elearnmarkets, Financial Education by StockEdge
Stock Trading
Dow Theory Made Easy
By — Vishal Mehta, Independent Systematic Trader
Stock