Newsletter July, 2026

Equity markets have bounced back strongly since April ’26, with Nifty/Nifty Mid cap 150/Nifty small cap 250/Nifty microcap 250 up by 5%/13.4%/20%/27% during Apr-June’26. Empirical evidence suggests that markets bounce back after a prolonged period of weakness. While markets corrected from Jan ’11 to Aug ’13, it bounced back strongly from Sept ’13 to July ’15; similar pattern is now visible, with markets bouncing since Apr ’26 after a weak period of Sept ’24 to Mar ’26.