In May, the Nifty fell 3%, partly due to sell-offs in IT stocks that averaged 20-25% below their highs. Some fund managers used the lower price levels to buy stocks, such as:
Fund managers also bought underperforming auto stocks such as
and Mahindra & Mahindra, where growth has been dampened by a chip shortage and the rebound in demand has been relatively subdued.
Major banks have also bought in at cheaper valuations. Some fund managers also bought in from select companies that have gained market share, such as and , which are seen as the biggest beneficiaries of the reopening transactions