“IN THE LONG RUN, WE ARE ALL DEAD.” The author of this widely quoted sentence is celebrated 20th-century economist John Maynard Keynes, who is often referred to as the father of macroeconomics—the branch of economics that deals with interest rates, government spending, and taxes to manage an economy’s growth. The sentence is also perhaps best suited to reflect the current mood of the stock markets, wherein everyone, as always, is bullish on the long-term India growth story. But, there is a wide consensus among market participants on the near-term concerns related to interest rates, inflation, and economic growth.
If data is anything to go by, there are strong headwinds in the stock markets that also explain the tumultuous movement of Indian equity benchmarks that were, till recently, down over 18 per cent when compared to the all-time highs the indices touched last year.
A further 2 per cent fall, and the Sensex and Nifty would technically be in ‘bear market’ territory that is typically marked by long bouts of range-bound movement. The Nasdaq in the US is currently in a bear market zone, having dived nearly 29 per cent from the 52-week high of 16,212 it hit on November 22, 2021.
Back in India, the S&P BSE Sensex touched its all-time high of 62,245.43 on October 19, 2021, and on June 17 this year, it touched a low of 50,921.22—a drop of 18.2 per cent. To be sure though, the indices have partially recouped their losses, and are currently down around 11 per cent from their all-time highs.
CHECKING THE MARKET PULSE
Diese Geschichte stammt aus der August 21, 2022-Ausgabe von Business Today India.
Starten Sie Ihre 7-tägige kostenlose Testversion von Magzter GOLD, um auf Tausende kuratierte Premium-Storys sowie über 8.000 Zeitschriften und Zeitungen zuzugreifen.
Bereits Abonnent ? Anmelden
Diese Geschichte stammt aus der August 21, 2022-Ausgabe von Business Today India.
Starten Sie Ihre 7-tägige kostenlose Testversion von Magzter GOLD, um auf Tausende kuratierte Premium-Storys sowie über 8.000 Zeitschriften und Zeitungen zuzugreifen.
Bereits Abonnent? Anmelden
"Inaction is worse than mistakes"
What was the problem you were grappling with?
TEEING OFF WITH TITANS
BUSINESS TODAY GOLF RESUMES ITS STORIED JOURNEY WITH THE 2024-25 SEASON OPENER IN DELHI-NCR. THERE ARE SIX MORE CITIES TO COME
AI FOOT FORWARD
THE WHO'S WHO OF THE AI WORLD GATHERED AT THE TAJ MAHAL PALACE IN MUMBAI TO DELIBERATE THE TRANSFORMATIVE IMPACT OF AI ON INNOVATION, INDUSTRIES, AND EVERYDAY LIFE.
Decolonising the Walls
ART START-UP MAAZI MERCHANT IS ON A MISSION TO BRING INDIA'S FORGOTTEN ART BACK HOME
"I'm bringing Kotak under one narrative, one strategy, one umbrella”
Ashok Vaswani is a global banker who spent most of his career overseas at institutions like Citi Group and Barclays, among others.
CHOOSING THE CHAMPIONS
The insights and methodology behind the BT-KPMG India's Best Banks and NBFCs Survey 2023-24.
'INDIA IS AT AN EXTREMELY SWEET SPOT'
The jury members of the BT-KPMG Survey of India's Best Banks and NBFCs discuss developments in the banking sector and more
FROM CRISIS TO TRIUMPH
Dinesh Kumar Khara stewarded SBI through multiple challenges during his tenure, while ensuring that profits tripled, productivity soared, and the bank consolidated its global standing
AT A CROSSROADS
BANKS ARE FACING CHALLENGES ON BOTH SIDES OF THE BALANCE SHEET-ASSETS AS WELL AS LIABILITIES-WHICH ARE PUTTING PRESSURE ON MARGINS.
EXPANSIVE VISION
Bajaj Finance, an outlier in terms of digitisation, faces stiff competition. But it continues to expand its reach