Puneet Wadhwa

Experts believe the markets, which were already nervous owing to the West Asia war, may have overreacted to PM Modi's appeal for austerity measures given the sharp fall seen in the last two days.

At the moment, markets are driven far more by global developments than domestic factors, Shah said. The biggest concern globally, he feels, is energy supply and energy prices.

Morgan Stanley has revised upwards its FY27 (fiscal 2026-27) base-case growth forecast for India to 6.7 per cent from its April 2026 projection of 6.2 per cent despite geopolitical concerns in West Asia. It expects the GDP

The hike in petrol and diesel prices by ₹3 per litre for both fuels could be the first of a few more rounds of hikes by the oil marketing

While companies have started to pass input cost rise to consumers, inflation, according to G Chokkalingam, founder and head of research at Equinomics Research is not become a major issue yet.

India's consumption stocks, which have outperformed the broader market, are now facing significant pressure due to a gradual rise in fuel prices and the potential for higher inflation. Analysts warn that companies may be forced to pass on increased input costs to consumers, potentially hurting demand across both staples and discretionary categories, with a looming threat of deficient monsoon rainfall further exacerbating inflationary concerns.

A potential valuation correction, artificial intelligence trade (AI) trade unwinding and the Strait of Hormuz opening for business, the note said, could stem these outflows

Against this backdrop, Bernstein has trimmed exposure to consumption-downgrading staples and autos to Underweight given inflation headwinds, limited policy support.

Amid the ₹14,261.41 crore sell-off, Sudeep Shah of SBI Securities believes that FIIs build-up short positions in index futures over the last three sessions, indicating increasing bearish bets.

Market regulator Securities and Exchange Board of India's (Sebi's) move to restrain Rajesh Exports and its promoter from participating in the