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Quote on Morning Market 16 December 2022 By Dr. V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services

"There is a near term risk aversion in global equity markets. Following the 50 bp rate hike and hawkish message from the Fed on 14th the ECB and BoE also hiked rates on 15th by 50 bp each and delivered, perhaps, a more hawkish message than the Fed. Other central banks like the Swiss National Bank and Bank of Thailand also have raised rates. This synchronised rate hiking cycle has impacted sentiments leading to sharp cuts of more than 3% in Nasdaq, CAC and DAX. India is likely to be less impacted by the bearish trend but investors can wait for the global markets to stabilise before making fresh commitments in this overvalued market. Moving some money to fixed income makes sense since fixed income returns are turning attractive."

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