InvestorQ : What is your view on the stock markets for 11 December? Will the correction continue on Friday also?
Arusha Ray made post

What is your view on the stock markets for 11 December? Will the correction continue on Friday also?

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diksha shah answered.
6 months ago
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It was a correction that was long overdue and that is what we got to see on 10 December. Also the weekly options settlement put some pressure on the markers. However, the close of the market was much better than initial losses, which is a positive signal.

You can say that the Nifty rally hit a temporary speed-breaker and the negative sentiments were largely driven by one company i.e. UPL. The stock corrected sharply after fund siphoning allegations emerged against the company by an insider whistleblower.

The Nifty on Thursday did recover from lower levels. The recovery on Thursday was led by the old FMCG guard companies like Nestle, Hindustan Unilever, ITC and Britannia. Clearly there was a bias towards the more defensive plays on a volatile day.

The good news is that FPIs continued to be net buyers to the tune of Rs.2260 crore even as DFIs sold Rs.2275 crore on Thursday. FPIs have infused Rs.30,000 crore in the first 10 days of December that is nearly half of the FPI infusion in the month of November.

The global markets cues were also broadly favorable. Dow corrected early on weak jobs data. However, the index picked up and closed near the 30,000 mark. NASDAQ was in the positive as were European markets. SGX is flat to positive in early trades and could bounce.

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