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Below Quote On Morning Market 07 September 2023 By Dr. V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services

"The market has turned excessively volatile responding to fast changing incoming data. DIIs have been consistent buyers on the back of good flows to domestic mutual funds. But FIIs have been consistently selling in the cash market this month with a net sell figure of Rs 7850 crores. The FII selling has been triggered by the rising US bond yields and the strengthening dollar. With the yield from the US 10-year at 4.29% and 2-year at 5%, the FIIs are likely to sell further impacting market sentiments.

A major concern in the market is the Brent crude rising above $90 with negative implications for India’s macros and inflation.
Investors may exercise caution and on correction buy only high quality stocks, preferably in banking, IT and capital goods. There is froth in the small-cap segment, which is driven by momentum."

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