Mid Caps under performed against the broader indices by closing more into negative territory than the broad indices today (Sept 13th, 2017). SENSEX stayed positive and flat, NIFTY moved into negative territory. As the markets are climbing higher and higher, there is visible tiredness, while the fund flow is not letting them to correct.
Our portfolio had a bigger correction with 0.77% losses as we had more number of stocks closing negative than the positive ones. A correction is always healthy as it helps us to move out of the weaker holdings and add new stocks that are getting strength to get prepared for the next rally. Hopefully, this time the market should correct to some extent.
Feels good to think about the situation we are in today, from the periods where we used to fear a correction, now we are welcoming it. A clear sign of maturity, not only with Bravisa, the whole market or the managers who are managing substantial are looking for it.
In a couple of week’s from now, September results will begin to flow, which is expected to give some kind of guidance to the markets. As we hold a portfolio of high quality stocks, we should not fear a correction, we expect a churn in our portfolio too in the coming week’s.
Metals were the leaders in our portfolio today, JSL is about to reach 100% gains since our purchase. Gains were also seen in the home construction and Sugar space. KEI is among the major losers, giving up gains it had post its result announcement, where as the stock is strong and will get going soon.