Share Market: The Nifty50 on the National Stock Exchange (NSE) to fall another 2,500 points to the levels of 20,000 or even below, CNBC-TV18 quoted Biju Samuel of Elara Capital. Samuel further said that Nifty50 will eventually find support at levels of 19,500. Moreover, the Nifty50 index has already corrected more than 16% from its September 2024 peak of 26,277, said the report.
"This is currently the first wave of the bear market and that this may continue for 18–24 months. We are five months in as of now," Samuel told CNBC-TV18.
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The Elara Capital expert predicts a significant downturn for the Nifty, expecting it to drop below its previous low of 21,281, which occurred on June 4 when the Lok Sabha election results were announced. Interestingly, after that low point, the index experienced a significant surge, rallying nearly 5,000 points in just three months to reach a record high in September.
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However, Samuel predicted that the US bull market will continue, and he expects a rebound from last week's decline on Wall Street.
Samuel predicted that the IT sector could be a promising area with a strong long-term potential, and he expects it to be a stable investment option for the next 16–18 months. Samuel predicts that the strength of the US market will drive the sector's outperformance.
Share Market Fall
The Indian share market has witnessed a massive fall since the beginning of 2025. There has been a trend of constant sell-offs by foreign investors, leading to a loss of over Rs 50 lakh crore in market capitalization in just 2 months of 2025.
In the meanwhile, Sensex has dropped over 5,300 points since January 1, where Nifty50 dropped over 1,600 points during this period. Also, Foreign Investors withdrew Rs 1,12,601 crore from the Indian equities during the given time period.
According to the data available at the Bombay Stock Exchange (BSE), the total market capitalization of listed companies stood at around Rs 445 lakh crore on January 1, 2025, but has dropped to approximately Rs 393 lakh crore as of the end of February.