Tide is turning for mid, smallcaps. Buy selectively for long-term: Analysts

The tide seems to be slowly turning for the mid-and small-cap segments. After a sharp correction post the presentation of Budget in July 2019 that dragged the S&P BSE Midcap and S&P BSE Smallcap indices lower by 9.8 per cent and 12.6 per cent, respectively till August 30 (S&P BSE Sensex down 6.5 per cent during this period), the sentiment in both these segments has started to pick up in September.

Thus far in September, the S&P BSE Small-cap index has gained nearly 3 per cent as compared to a modest 0.2 per cent dip in the S&P BSE Sensex.