For the past 11 days I noticed a healthy trend that the Indian capital markets are showing. Most would disagree with me and say that FIIs being net sellers is a negative sign for the Indian capital markets, but I think that this shows the faith of domestic investors in our capital markets. This is the reason why even though FIIs have been net sellers of around $2 billion for the current month so far, the domestic institutional buyers have been net buyers all along.They realize that these are good times when most stocks are depicting values close to or less than their intrinsic worth. All those who are leeches for the markets will exit now because the Bull of Speculation is not roaring for them anymore...neither here, nor back home. The ones who stay invested right now for the long run will be the true investors the market needs. These will be the ones who will reap the true benefits in the coming 18 months. Kudos to the domestic institutional buyers!!
I am a little concerned with Nifty breaking the psychological barrier of 4000.
1 comment:
i agree with that. I personally believe that the Indian stock markets ould prove to healthy when the markets are in control of the domestic investors rather than the FII who are speculators and would invest to make some quick returns.. it is a pity that Indians lack the awareness and knowledge of the stock markets... Only 5-7% of Indian households have actually invested in the market. The need is to get the residents to invest.This would reflect a healthy stock market for any country..
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