Realty, media stocks sink 4-5% even as experts back domestic plays for stability

Investor anxiety deepened following China’s retaliatory move to impose a 34 percent tariff on US goods

While experts have been advocating for domestic-facing sectors to hold up better amidst tariff-related volatility, Nifty Realty and Nifty Media indices bore the brunt of a steep selloff on April 7, falling by 5 percent and 4 percent, respectively. The sharp declines came as part of a broader market rout, though analysts believe these dips may present attractive buying opportunities for investors with a long-term horizon.

So far this year, both the Nifty Realty and Nifty Media indices have underperformed significantly, shedding over 20 percent each, compared to a relatively moderate 6 percent decline in the benchmark Nifty 50 index.

ALSO READ: Tariff turbulence: Nifty, Sensex outperform global peers; Asian, European markets crash up to 13%

Jaspreet Singh Arora, Chief Investment Officer at Equentis Wealth Advisory Services, acknowledged the pressure faced by IT and export-driven sectors due to ongoing trade tensions. However, he noted that domestic consumption-oriented sectors are better positioned to withstand external shocks.

“For long-term investors, the current environment calls for discipline. Stick to your asset allocation and avoid knee-jerk reactions. As for short-term traders, the heightened volatility demands a cautious and tactical approach,” Arora added.

Kranthi Bathini, Equity Strategist at WealthMills Securities, echoed similar sentiments, explaining that the downturn in Nifty Realty was largely sentiment-driven and not rooted in any specific negative fundamental developments.

“Historically, Nifty Realty has been a strong performer during bullish phases. The current decline is more reflective of the overall market weakness and not due to any real deterioration in the sector’s outlook,” Bathini said.

VK Vijayakumar, Chief Investment Strategist at Geojit Financial Services, also supported the view that the weakness in domestic-oriented sectors like real estate and media is likely temporary. He stressed that any significant correction in these areas should be viewed as a buying opportunity.

“In the context of ongoing global tariff issues, sectors tied to domestic demand are relatively safer bets,” he said.

On April 7, benchmark indices Sensex and Nifty closed with sharp losses of 3 percent each, as global concerns spooked investor sentiment. Negative cues from Wall Street reverberated across world markets, including India, and fears of a looming recession combined with escalating trade tensions added to the pressure.

Investor anxiety deepened following China’s retaliatory move to impose a 34 percent tariff on US goods, in response to US President Donald Trump’s aggressive trade stance—amplifying fears of a drawn-out trade war.