Markets will be choppy amid 21-day lockdown; recovery to be slow, painful

From the peak in January 2020, the S&P BSE Sensex and the Nifty50 have tanked around 37 per cent each, while the carnage in the mid-and small-caps has been even more brutal

The sharp fall in the Indian markets from their recent peak triggered by the coronavirus (Covid-19) pandemic is factoring in the 21-day lockdown to an extent, but the recovery from these levels will be a slow and a painful process, say analysts. Given the developments, they expect fiscal and monetary support from the government and the Reserve Bank of India (RBI) to revive sentiment and expect the markets to remain choppy as they track the pandemic-related developments.

“Ever since the announcement of the Janata Curfew, the market