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Quote On Morning Market 28 July 2023 By Dr. V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services

The market is delicately poised with strong headwinds and some tailwinds. The headwinds come from the US 10-year yield rising sharply to 4%, the dollar index rising to 101.7, Brent crude rising above $83 and FPIs selling stocks for Rs 3979 crores in the cash market yesterday. While these strong headwinds can impact the market, support can come from the strong US 2nd quarter GDP number of 2.4%. Since the ongoing global rally,led by the mother market US, is primarily driven by the US soft landing narrative, this data can provide some support when the market turns weak.
Investors have to be careful chasing small-caps which are in overvalued territory. Large-caps, even when richly valued, are safe unlike risky small-caps.
Pharma is staging a comeback and there is value-buying happening in beaten down metal stocks.

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