29 Sep 2025 | 5 Mins Read

Indian Markets Face Challenges, Outlook Improves

Flipitmoney

Indian equities underperformed global peers, declining 4-7% in INR and 10-12% in dollar terms over a year, a nearly 20-30% relative underperformance. Factors contributing to this include weaker earnings growth, stretched valuations, and foreign institutional investors' cuts. However, conditions may improve as government reforms filter through, valuations correct, and external pressures ease.