Caveat emptor

Investors need to be cautious and look beyond market highs

A weak rupee, a rising current account deficit, slowing exports, and rising interest rates don’t seem to add up to a big bull market. Yet, despite all these negative factors, the Sensex and Nifty have soared to all-time records. Moreover, financial services firm Morgan Stanley estimates the Sensex could move up by another 30 per cent in calendar 2023 if a few conditions are met.
 

Foreign portfolio investors (FPIs) have pumped Rs 35,000 crore into equities in November. This represents a major attitude reversal, given that they had sold a net Rs 1.68 trillion in the previous 10 months. Domestic