India Strategy Report Back
India Strategy: Volatility returns, but earnings story improving
08-Feb-2018

The Indian equities markets have witnessed a severe correction, with the Nifty Mid-cap100 index declining ~10% and the benchmark Nifty sliding ~5% over the past month. The sharp volatility – the VIX index up 27% since 31st January 2018 – over the past few weeks can be ascribed to unsupportive global developments as well as domestic policy events (especially the Union Budget). What's more disappointing is that the gloom comes after a smooth upward ride in CY17, when the markets did not once witness a draw down of even 5%.