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Nifty's 18-month slump: How the AI shift and wars are rewriting the bull playbook

Analysis of this story by et_markets · 11 Mar 2026, 8:58 AM IST (about 2 months ago)

AI Analysis

The broad market has seen significant volatility and a recent slump, with Nifty and Sensex experiencing sharp declines. This article suggests a potential turning point despite ongoing geopolitical concerns.

Trading Insight

Maintain a bullish bias on Indian equities, focusing on quality stocks and index funds, with strict stop-losses below recent support levels.
Quick check: NIFTY neutral, NIFTYSMALLCAP100 neutral.

Key Evidence

  • Indian equity investors face an 18-month return drought, with Nifty and smallcaps significantly below recent peaks.
  • Despite fears surrounding AI and geopolitical tensions, strategists urge against raising cash.
  • Strategists advocate for increased equity allocation due to attractive valuations and a potential market turn.
  • Risk flag: Ongoing geopolitical tensions (US-Iran war mentioned in context)
  • Risk flag: Uncertainty surrounding AI's long-term impact on various sectors

Affected Stocks

NIFTYNifty 50
Positive

Strategists recommend increasing equity allocation due to attractive valuations and potential market turn, despite recent slump.

NIFTYSMALLCAP100Nifty Smallcap 100
Positive

Smallcaps are significantly below recent peaks, making valuations attractive for potential upside as per strategists.

Sources and updates

Original source: et_markets
Published: 11 Mar 2026, 8:58 AM IST
Last updated on Anadi News: 11 Mar 2026, 9:22 AM IST

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Nifty's 18-month slump: How the AI shift and wars are rewriting the bull playbook | Anadi Algo News