Over the past three years, systematic investment plans (SIPs) in thematic, sectoral, small, and mid-cap funds yielded over 45% returns, outpacing the Nifty 50 index which returned 21.3%. PSU and infrastructure funds performed notably well, driven by strong interest in defense, rail, banking, and an uptick in the capex cycle.
Fund managers recommended that investors avoid chasing high-return schemes from the past, instead suggesting investments in hybrid funds and areas with reasonable valuations. Neelesh Surana of Mirae Asset highlighted the importance of diversified SIP investments. Historical evidence suggests that sticking to one fund type often results in better returns than frequently switching based on past performance.
U.S. stocks saw substantial declines on Monday, with the Nasdaq and S&P 500 each falling over 3%. The losses were driven by recession concerns and a sharp drop in Apple shares after Berkshire Hathaway halved its stake. Weak economic data and concerns over the Federal Reserve's interest rate policy contributed to the market's extended sell-off.
UK Foreign Secretary David Lammy has expressed concern over the violence in Bangladesh and urged for a UN-led investigation into the recent events. He described the situation as unprecedented and urged everyone to work together to end the violence. Lammy also expressed the UK's desire for Bangladesh to transition towards a peaceful and democratic future, highlighting the strong bonds between the two nations.
Indian equities and the rupee fell sharply due to global market turmoil and recession fears. The Sensex dropped over 2,200 points while the Nifty declined considerably. Global concerns, including recession threats in the US and geopolitical tensions, contributed to the market decline. Bond yields decreased amid expectations of an earlier US Federal Reserve rate cut.
Indian markets fell almost 3% on Monday, reflecting concerns over economic slowdown and global issues. Rupiah fell to an all-time low as uncertainty looms around RBI Policy amidst recession fears. Important companies like Tata Power and Vedanta are set to declare their Q1 results on Tuesday.
Oil prices climbed on Tuesday, mitigating the previous day's losses. Heightened tensions in the Middle East, particularly fears of Iranian retaliation, overshadowed concerns about a possible U.S. recession impacting demand. Brent crude and U.S. West Texas Intermediate futures both saw notable gains, as the market responded to threats of escalating conflict.
Kamala Harris was preparing to announce her vice-presidential pick, with expectations for the announcement within 24 hours. She plans to introduce herself to the American public through a tour of battleground states, starting with Pennsylvania on Tuesday. This tour comes just three months before the election.
The Cboe Volatility Index had its largest intraday jump on Monday and closed at its highest level since October 2020 due to U.S. recession fears and global market sell-offs. The S&P 500 witnessed substantial declines, causing investors to scramble for hedging strategies, leading to the surge in the volatility index.
Olympics 2024 India Schedule: On August 6, India's 'Golden Boy' Neeraj Chopra will compete in the Javelin throw qualification at the Paris Olympics. The day will start with the men's team event in table tennis, followed by Kishore Jena's javelin throw event. Kiran Pahal will compete in the women's 400m repechage at 2:50 PM IST. Vinesh Phogat, a seasoned wrestler, will compete in the women's freestyle wrestling in the 50 kg category at 3:00 PM IST.
Happy Tuesday! As UPI becomes the default payment mode in India, mobile wallets are suffering. This and more in today’s ETtech Morning Dispatch.
The Biden Administration has called for the formation of an interim government in Bangladesh following the chaotic resignation of Prime Minister Sheikh Hasina amidst violent anti-quota protests. The administration emphasized that this interim government should be established based on democratic principles, rule of law, and the will of the Bangladeshi people.
The index rose by 3,360.39 points to reach 34,818.81 approximately an hour after trading commenced. This increase followed significant declines on Wall Street that were notable, though not as severe as the sharp drop experienced in Tokyo on Monday.
British shoppers reduced their spending in July as rainy weather continued to impact consumer activity, according to two surveys released on Tuesday. Barclays reported a 0.3% decline in spending on credit and debit cards compared to the previous year, marking the second drop since February 2021. This decrease follows a sharper 0.6% decline in June.
Indian benchmark indices plummeted almost 3% on Monday amid global market shocks and concerns over a US economy slowdown. RIL, Bharti Airtel, Vedanta, Tata Power, and other major companies were highlighted due to recent news and quarterly results. RIL’s AGM is on August 29, while ONGC and Airtel disclosed contrasting profit performances.
Japanese stocks surged above 34,000 on Tuesday, recovering from Monday's 12.4% plunge. Central bank reassurances boosted markets, igniting a sharp rebound in the Nikkei, as well as gains in Wall Street futures. Currencies steadied, Treasury yields recovered, and oil prices rose after news of U.S. personnel injuries in Iraq.
Japan saw an increase in inflation-adjusted real wages in June for the first time in over two years, driven by the fastest nominal pay gain in nearly three decades, according to recent data. This supports the Bank of Japan's view that wage increases are expanding. However, the same month also witnessed a larger-than-expected drop in household spending, complicating the central bank’s strategy to cautiously raise interest rates.
The World Bank announced on Monday that it is evaluating the impact of recent events in Bangladesh on its loan program. This follows the resignation and departure of Prime Minister Sheikh Hasina after violent protests and a government crackdown resulted in hundreds of deaths.
The United States, through diplomatic channels, has been urging other countries to tell Iran that escalating tensions in the Middle East is not in their interest, as relayed by a State Department spokesperson on Monday. Secretary of State Antony Blinken highlighted the urgency, calling it a "critical moment" for the region. Washington is actively engaged in intensive diplomacy to calm tensions amid fears of Iran preparing a retaliatory strike against Israel.
As tech employees returned to their hometowns during Covid-19, the IT talent hunt has shifted to tier-2 and smaller cities, which hold the default advantage of lower operational costs and low attrition rates. These cities may have been overlooked before, but with better infrastructure like reliable power supply and affordable high-speed internet, they are becoming talent hubs.
Livspace founder Ramakant Sharma, Cred founder Kunal Shah, Acko cofounder Ruchi Deepak, and Groww founders Harsh Jain and Lalit Keshre, among others, participated in the funding round. The funds will be used to build the team and grow the business.