As expected by us the market experienced a sharp sell off. Most Investors were flabbergasted by the correction as they expected the market to move up. Yesterday, all sectors closed in red and it’s a good sign for the markets. Let’s enjoy the crash as it will bring back sanity into the markets.

If you adopt value or GARP investing you don’t have to worry much about any kind of market.

Yesterday we discussed about US and Indian stocks in a zoom meeting. One of our senior member in the group asked when US is in recession how can India grow especially during the election year?. Remember most US companies (exceptions are there) are struggling to post good results, where as very many India companies are posting great results.

On Friday we witnessed a massive sell off in HDFC twins. Most brokerages have a 'buy' rating on HDFC, with CLSA having set a target price of ₹3050. On Thursday, after the market hours, HDFC reported a standalone net profit of ₹4425 crore for the quarter ended March 31, 2023- an increase of 19.6% compared with the corresponding period a year ago. Its net interest income grew 15.6% to ₹5321 crore, and net interest margin improved by 20 basis points to 3.6%. Yet, the stock nosedived by a massive 5%.

What’s the buzzword now in the market? In 2020 the buzzword was crypto currency. Bitcoin witness a mad rush and it went up from $7000 in 2020 to 63000+ in 2021. All happened in a matter of 10-12 months, and when the rally fizzled out, it nosedived again to $15000. Today the buzzword is AI. The market is energised by the magical word AI and any company that uses AI as a catchphrase goes up like a rocket.

The world is changing rapidly around us. Faster than most people can think of. Market responds to the real life situation.

The Fed hiked key rates by 25 bps in March 2023 policy in order to achieve maximum employment and contain the inflation rate of 2%. The federal funds rate is now between 4.75% to 5%

Great times may not be there but better times are ahead. Looks like worst maybe over but grinding may continue for some more days.

Long term investors need not have to worry about the volatility. Forget about the channel experts about their opinion. You may forget about twitter or YouTube experts. All you have to ask is just 5 questions before making a concrete purchase for long term investments:

According to the report, the demand sentiments for a majority of the automotive segments such as passenger vehicles, commercial vehicles and tractors have remained healthy, aiding in the improved off-take for the industry participants.