Don’t rush in; China may be willing to talk but better stick to largecaps: Nischal Maheshwari

Market expert Nischal Maheshwari suggests sticking to large-cap quality stocks amidst ongoing trade negotiations. China has expressed openness to talks with the US, contingent on respectful engagement. Maheshwari advises caution regarding IT stocks, anticipating continued uncertainty and deferred decisions until the second half of next year, recommending a wait-and-see approach.

Does it still make sense to have a larger allocation to largecaps? Chakri Lokapriya answers

LGT Wealth’s CIO-Equities, Chakri Lokapriya, suggests a multicap approach, highlighting value in mid and small-caps after recent market volatility. He favors domestic-facing companies like Tata Consumer and Voltas, financials benefiting from government spending, and industrials. Cement companies like UltraTech are also promising. While IT faces discretionary spending uncertainty, chemicals offer an advantage due to favorable tariffs compared to China.

China and Hong Kong shares rally after tariff relief

China and Hong Kong stocks surged on Monday following the U.S. decision to grant tariff exclusions on certain electronics, boosting tech shares. The CSI300 Index and Shanghai Composite Index saw gains, while Hong Kong’s Hang Seng climbed significantly. Apple suppliers, including Foxconn and Goertek, experienced a rally.