INSUBCONTINENT EXCLUSIVE:
Industries -- have entered the bear market territory
Data showed 43 of the 50 Nifty stocks are officially in the bear market by 11 am (IST) on Thursday, as they all recorded over 20 per cent
drop from their 52-week high levels.
The new names that joined this group on Thursday included HDFC Bank, TCS, Britannia, ICICI Bank, HDFC,
Titan Company and Bajaj Finserv.
While the steep drop in the blue chips is being seen as a buying opportunity, analysts are unsure how
things will pan out in the wake of rapid spread of the coronavirus, which has already been declared a pandemic.
Wait for things to settle
down, as the market may offer even better entry points, they said.
Shares of HDFC Bank on Thursday hit a low of Rs 1,032, off 20.94 per cent
from its 52-week high of Rs 1,305
TCS hit a low of Rs 1,831, down 20.25 per cent from its 52-week high of Rs 2,296.
Britannia Industries declined 8 per cent to enter the bear
The stock is down 21.6 per cent from its 52-week high of Rs 3,583 on NSE.
The benchmark Nifty itself entered the bear market, having fallen
22.37 per cent from its 52-week high of 12,430 to trade at very close to the 9,600 mark.
ICICI Bank, HDFC, Titan have all fallen 22 per cent
UltraTech Cement, Bajaj Finance, Infosys and Power Grid too have entered the bear territory.
The fall in Nifty stocks has been steep, as
foreign investors, especially ETFs, pulled out money at rapid pace
To some extent, this is an algorithmic pullout
sits on Rs 500 crore of fresh money from investors but is unsure whether he should start buying now.
Hemang Jani of Sharekhan said he has
seen similar panic in the past when the market had fallen 16-18 per cent
falling and as and when people start getting some comfort
Till the time we see global uncertainty, people should not take comfort in the fact that crude oil prices are down or the government is
crisis, the annualised return from equities in the next one year would have been 63 per cent, and in next three years 23 per cent,