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Below the Quote on Morning market Views 31th October 2025 by Dr. VK Vijayakumar, Chief Investment Strategist, Geojit Investments Limited

The Trump-Xi summit delivered only a one-year truce in the US-China trade war, not a breakthrough trade deal. To that extent market participants were disappointed at the outcome even though there is relief in the declining trade tensions and possible movement towards further progress. 

The rally in the Indian market has been running out of steam when it approaches the record high of 26277 set in September 2024. Renewed selling by FIIs is likely to be a drag on the market in the near-term. The increasing short positions being created by FIIs indicate that they view Indian valuations as relatively higher particularly seen in the light of earnings growth. This view will change only when leading indicators suggest a sustained recovery in earnings. 

Meanwhile long-term investors can slowly accumulate fairly-valued growth stocks. India’s recently announced grand maritime strategy entails massive expenditure on shipping. Ship building stocks have great potential for long-term growth.

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