Why Are FIIs Selling? Watch the MOVE Index! | NIFTY-50
WHY ARE FIIs SELLING? WHEN WILL THE SELLING STOP? | PART 2 – WATCH THE MOVE INDEX | NIFTY-50 CRASH
The NIFTY is currently witnessing a period of extremely elevated volatility. It started off with the Federal Reserve starting its most recent rate cut cycle in the US on 18-Sept-24 with a big bang 50 basis points cut, and equity markets around the world, including the NIFTY-50 Index in India cheered the start to rate cuts in the US with very strong rallies. The NIFTY hit an new all-time-high on 26-Sept-24. However, since then, there’s been a dramatic reversal in the fortunes of the NIFTY and the NIFTY has corrected by almost 11% from its most recent all-time-high, and even now, there are no signs that we are anywhere near the end of this volatile phase.
In Part 1 of this series, I tried to examine how the NIFTY has typically trended in previous business cycles in the aftermath of the Fed starting to cut interest rates. This video is available at:
Why are FIIs Selling? When will the Selling Stop? | Part 1 - This Too Shall Pass! | NIFTY-50 Crash
In Part 2 of this series, I endeavor to delve into the key factor/s that are driving the current bout of volatility in equity markets in India right now, and also provide a data-driven explanation as to why equity market necessarily tend to become volatile once the Fed starts to cut rates. Furthermore, I have also tried to explain how the MOVE Index, which tracks volatility in US government bond market can potentially play a pivotal role in helping investors navigate the equity markets during course of this on-going phase of volatility in equity markets. So do watch this video till the end.
So Do watch the full video on ”Why are FIIs Selling? When will the Selling Stop? | Part 2 - Watch The MOVE Index | NIFTY-50 Crash”
