Sensex Today | Stock Market View: Dr. V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services

The favourable market texture continues with declining bond yields in the US ( 10- year yield is at 4.48%) and Brent crude dipping below $80. The resilience of the market is forcing the FIIs to substantially reduce their selling which dwindled to Rs 85 crores yesterday. The FOMO ( Fear of Missing Out) factor is likely to restrain the FIIs from aggressive selling. This will be favourable for the financial sector which has been bearing the brunt of FII selling.

While declining crude is a positive for India it also is indicative of the slowing global economy. The three drivers of the global economy - US, China and the Euro Zone - are likely to struggle in CY 24. Even though India is outperforming now, it would be difficult for India to completely decouple from this global slowdown. Therefore, Investors may focus on domestic demand driven sectors like banking and automobiles. A safe bet now is quality pharmaceutical stocks which are exhibiting resilience.