Desk
Share
New Delhi: The BSE Sensex tumbled over 800 points, while the Nifty slipped more than 230 points in afternoon trade on Monday, February 24, 2025. With Indian stock markets declining since September 2024 and showing no signs of a strong recovery, investors are increasingly concerned about whether the markets have entered a bear phase.
In an exclusive conversation with News9, Kranthi Bathini, Market Analyst at Wealthmills Securities, shared his insights on the ongoing downtrend and the chances of a market rebound.
Are Indian Markets Oversold?
Expert Take:
"The markets appear to be in an oversold zone, but predicting a bottom is extremely difficult, especially with relentless foreign investor selling and negative global news," Bathini said.
While technical indicators suggest that the market may be nearing its bottom, global instability and weak cues from Asian markets are adding pressure to domestic equities.
Why Are Markets Struggling?
Persistent FII Selling: Foreign Institutional Investors (FIIs) continue to offload Indian equities, causing further declines.
Global Market Instability: Weak trends in Asian markets and global uncertainties are impacting investor sentiment.
Slow Corporate Growth: While corporate profits have not shown major negative signs, their growth rate has slowed.
India’s GDP Growth at a 4-Year Low: Despite this, India remains the fastest-growing economy.
Will There Be a Market Recovery?
Optimistic Outlook for Long-Term Investors
Despite short-term concerns, Bathini remains optimistic about India's stock market recovery, advising investors with a 1-3 year investment horizon to accumulate select stocks at lower valuations.
Expert Advice:
"The current market downturn is a correction within a bull market, not a long-term bear phase."
According to Bathini, low trading volumes and lack of market activity are common in such phases, but investors should see this as an opportunity rather than panic-selling.
Bottom Line: Downtrend or Bear Market?
While the current market slump has triggered fears of a bear phase, experts believe it is a prolonged correction rather than a full-blown downturn.
