Click to play videoNew Delhi: The monsoon party on the stock markets seems to be losing steam. The Sensex crashed below the psychological 15,000 mark. Both the Sensex and nifty fell by 4 per cent with realty, capital goods and banking stocks taking the worst hit.
After a positive upsurge on Tuesday, the markets crashed on Wednesday taking a cue from its Asian peers who also met with a similar fate.
All Sensex and Nifty stocks took a beating due to heavy selling pressure. And if you think the worst is over, then think again. Analysts say that the markets could plunge to new depths.
Modern shares Director Anil Manghnani says, “Since we have been talking about the investors. One has to look for 15-20 per cent returns on the index stocks. The major investment level would come at 4230-40 levels for the nifty and 14500-700 levels for the Sensex that would be the first logical level of investment.”
But experts also say that this correction was a necessity as the markets were on a one-way track for too long. But the confidence in the long-term India growth story is still strong.
“Indian economy and the China etc far more stable in performance in terms of growth, in terms of corporate governance more particularly India. So there is no reason to worry about it. Yes there will be ups and downs but India will come on top and India will outperform western markets this year we are quite sure about it, “ says Ajay Srivastava from Dimensions Consulting.
Bull run or bear run - the basics of smart investing does not change. Experts say that its time now to buy into your dream stocks at lower levels. It’s not much far when you will see the bulls dominating the bears once again.
Meanwhile, while the markets crashed, the Finance Minister P Chidambaram was doing his bit to try and convince banks to do more to help him bring down inflation.
He said this at a performance review meeting with heads of public banks.
Chidambaram urged banks to resist hiking rates further, and said that the banking sector was capable of absorbing the latest round of CRR hikes. He said banks should do their part to help contain the excess liquidity.
(For updates you can share with your friends, follow IBNLive on Facebook, Twitter, Google+ and Pinterest)
More on IBNLive Right Now
MOST SHARED
PHOTOGALLERY
