The brokerage company has estimated that the 50-share National Stock Exchange’s Nifty will remain at 15,600 points till December 31, 2022, due to fears of recession and high levels of inflation around the world.
Be cautious in the stock market
There has been an upward trend in the stock market since mid-June. However, if you are preparing to invest in the market now in view of this boom, then be careful. Actually American brokerage company BofA Securities has stock exchanges It has indicated more trouble for the investors in the coming time. BofA estimates that by December, there will be a further correction of 10 percent in the benchmark index. According to the brokerage house, due to the ongoing economic uncertainty around the world and fears of recession, the stock market will remain under pressure.
Nifty may fall till the level of 15600
The brokerage company has estimated that the 50-share National Stock Exchange’s Nifty will remain at 15,600 points by December 31, 2022. However, it is a matter of relief that the brokerage house had earlier expressed the possibility of even more fall in Nifty. Earlier in June, BofA had projected the Nifty to remain at 14,500 by the end of December. The company has now revised its estimate. Currently Nifty is trading above 17650. That is, a fall of about 2000 points in Nifty is possible from here. The market has been fluctuating in the short term. In April, Nifty had crossed the level of 18 thousand. However, after declining, the index reached below 15300 by mid-June. Now once again the progress is being seen.
Why can there be a fall
The stock markets have recently witnessed some buying after sustained selloff with inflow of foreign investors. Earlier, foreign investors have withdrawn more than $ 29 billion from domestic stock markets. Analysts at BofA said in a note, “We remain cautious about the current volatile environment and concerns about a global recession.” Apart from this, the brokerage has also pointed to some positives like concerns like higher crude oil prices, depreciating rupee as well as moderation in domestic inflation.