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Below the Quote on Morning market views from Dr. V K Vijayakumar, Chief Investment Strategist, Geojit Financial Services

"Market will continue to be under pressure from the many strong headwinds. The blow out jobs data from the US with 2.56 lakh job creation in December against expectations of 1.65 lakhs means the rate cut expectations in 2025 is now down to one. With the unemployment in the US down to 4.1% the economy doesn’t need any stimulus. This good economic news is turning out to be bad news for markets which were discounting many rate cuts this year.

For India, the Brent crude rising to $81 is a concern. But the IIP data for November at 5.2% indicates that the economy is recovering from the slowdown in Q2.

The strength of the US economy augurs well for IT stocks which have been resilient even during weakness in the market. Pharma and health care stocks will be under less pressure since the demand situation is good. With the US 10-year bond yield above 4.7 % FIIs will continue to sell offering opportunities for long-term investors to buy reasonably priced large-caps, particularly in banking. The broader market will continue to be under pressure."

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