 "Increase exposure to defensive stocks. If you have the risk appetite, take contra calls. Image: iStock")
The Sensex is down 3.4 per cent over the past month. Besides election-related uncertainty, the perceptible slowdown in several key segments of the economy is weighing on market sentiment. While private investment has been in the slow lane for some time, the recent slowdown in consumption has further compounded the economy’s woes.
Consumption losing steam: Consumption has been slowing down for the past nine months, since the onset of the IL&FS crisis. This can be partly attributed to business cycles. The ongoing crisis in non-banking financial companies (NBFCs) has also contributed. NBFCs specialise in giving loans to the sub-prime
