The Indian stock markets have been on a downhill drive since the last few trading sessions.
This week, concerns over the trade talks between China and US coupled with Lok Sabha elections and 4th quarter results majorly determined the market mood.
Note that, nearly 1,500 points declined on the BSE in last 7 sessions.
The above developments have also weighed on major global currencies. The Indian rupee weakened for the fifth consecutive session on Friday.
What's more, even net inflows into equity mutual funds plunged 64% in April to the lowest in 31 months as investors turned risk-averse because of uncertainty.
The effects of this were clearly reflected in the NSE's India VIX index, which tracks investors' perceptions of volatility, which rose 27% in April.
Is this bear market here to stay? When will this volatile mood of markets end?
While the volatility index is high, it is no indicator of the market direction.
We, at Equitymaster believe, safe stocks with strong fundamentals will do well regardless the short-term volatility.
Don't let the volatility index spook you. Instead, let your cash buffer allow you the patience and perseverance to ride the market volatility.
Tune in to know more...
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