Markets May Fall Another 5-7%, Say Experts

Market recovery is expected post-budget and once US President-elect Donald Trump's policies become clearer

- ARSHAD KHAN

INDIA'S equity market may fall another 5-7% due to existing headwinds that have brought down the benchmarks-BSE Sensex and NSE Nifty 50-by about 10% from their all-time high levels.

Last week, the Sensex fell over 2.20% to settle at 77,379 while the Nifty plummeted 2.49% to close at 23,440.

"In the next three weeks, we have material events including the Union Budget announcement - until then, we are likely to see a 5-7% correction in the markets. A weak Budget parallel to the 2024 August budget could shock the markets. No mention of railways, infra, and defence will result in valuations of these sectors dropping to 30-40x levels," said Sreeram Ramdas, Vice President at Green Portfolio PMS.