Business Standard

Steep correction

Market valuations are becoming reasonable

SVB, Silicon valley bank

Photo: Bloomberg

Business Standard Editorial Comment
The collapse of Silicon Valley Bank and the meltdown of Credit Suisse have led to much uncertainty about market trends. Investors are wary of issues surfacing in the financial sector, since those may cause widespread contagion. A financial crunch could lead to slower revenue growth, lower corporate earnings and, given rising interest rates, lower valuation discounts too. The Nifty has dropped 4.8 per cent in the past 30 days, and it is down 16.8 per cent from the all-time high of 18,887, achieved in November 2022. The benchmark index is now trading at a price-to-earnings (PE) ratio of 20.2, which

Don't miss the most important news and views of the day. Get them on our Telegram channel

First Published: Mar 22 2023 | 10:42 PM IST

Explore News

To read the full story, subscribe to BS Premium now, at just Rs 249/ month.

Key stories on are available only to BS Premium subscribers.

Register to