Higher US Treasury yields, particularly the 10-year yield approaching 5 per cent, pose a significant near-term risk to global equity markets, including India, potentially triggering a 'big correction' according to market strategists.
'Value is not where you make money in India. It never has been.' 'You have to buy momentum.' 'Momentum is in technology, and I don't see that slowing down because I believe the AI infrastructure boom is going to last for a while.'
Newly listed companies Vedanta Aluminium Metal, SBI Funds Management and Manipal Health Enterprises have entered the Rs 1 trillion mcap list since March 2026.
Oil prices are expected to remain elevated due to disruptions in the Strait of Hormuz, with both the US Energy Information Administration (EIA) and Rabobank International forecasting firm prices and a potential surge above $100 a barrel if disruptions worsen.
'...as we believe with the adoption of AI, our IT services companies' revenue models will have to undergo a reset, which may in turn impact their potential for earnings growth.'
DIIs invested $22.8 billion in Indian equities in Q2CY26.
Nearly 50 per cent of the stocks that comprise the Nifty 50 are trading below their respective 200-DMAs.
'I don't see fear becoming a dominant factor for retail investors.'
'Banking is the only sector that can see double-digit growth in FY27.'
'Midcaps and smallcaps are the 'go-to segments' for retail investors.'
'Rather than deploying all their money at once, investors should invest gradually.' 'A staggered approach is the better strategy because volatility is likely to persist.'
Morgan Stanley analysts, led by Ridham Desai, predict that the next phase of the Indian market rally will be primarily driven by the April-June quarter (Q1FY27) corporate earnings season and the performance of the monsoon.
'Investors shouldn't let fear dictate their decisions. The most important step is simply to begin investing.'
The Nifty IT index has been one of the worst sectoral performers in calendar year 2026, losing nearly 29 per cent till date compared to the 8 per cent dip in the Nifty 50 index.
IT stocks had their worst first half fall in decades, with the Nifty IT index declining 31% in the January-June 2026 period, its biggest decline in the first six months of a calendar year since 2003.
'India has initiated a bear market and we will still go lower. It has nothing to do with the economy.'
Accenture's revised annual revenue growth forecast and weaker-than-expected fourth-quarter guidance have sent shockwaves through the Indian IT sector, causing major IT stocks and the Nifty IT index to tumble significantly.
Investors are keenly awaiting clarity on Reliance Jio Infocomm's IPO, the company's AI and data centre strategies, and next-generation leadership structure at Reliance Industries Ltd's (RIL's) 49th annual general meeting (AGM).
'The real money in India over the coming period is likely to be made in small-cap stocks rather than in the large-cap benchmark names.'
A potential US-Iran peace deal, expected to be signed on June 19, is anticipated to ease geopolitical stress and benefit various sectors, particularly in India, with analysts suggesting investors await finer details before making significant moves.
