Shillong, August 18: The BSE Sensex has slipped below the 65,000 points mark, recording a 291-point drop in Friday’s morning trading session. Currently trading at 64,859 points, the market decline is primarily driven by IT stocks.
Key players such as TCS, Wipro, Tech Mahindra, and Infosys have experienced a decline of over one per cent.
IANS reported that V.K. Vijayakumar, Chief Investment Strategist at Geojit Financial Services, notes that the Nifty has retreated by 3 per cent from its peak of 19,979 points in July, influenced by global market trends. He emphasizes that there are no immediate triggers that could lead to a significant market rebound.
According to Vijayakumar, prolonged market weakness could result in more reasonable valuations, presenting an opportunity for long-term investors. He suggests that investors consider utilizing market corrections to acquire high-quality stocks in growth sectors such as capital goods, banking, automobiles, and construction.
Global stock markets have observed declines this month, with the S&P 500 in the US experiencing a 4.25 per cent decrease.
This downward trend has been triggered by factors including the strengthening dollar and rising US bond yields, which are responses to the perspective of most Federal Reserve officials that additional rate tightening may be required to address inflation concerns.
