Jitendra Sriram, MD & Head-Research of HSBC India told CNBC-TV18, "Overall on the defensive spectrum I must confess that we are not as enthused mainly because of the stock performance that these sectors have shown. Last year after the initial euphoria post electoral verdict, we have actually seen that the defensive spectrum of the market which includes healthcare and IT do exceedingly well. Part of it is also got to be the tailwind from the currency strength that the US dollar saw."
"We believe that with the first quarter of this financial year that is June quarter, we believe that the dollar strength will come to a close. So, we do expect the euro dollar to start rebounding from here which makes us a little bit more cautious on those," he said.
"From a strategy perspective on India, we are underweight on tech and pharmaceuticals at this point of time though we do have individual stocks which we think that there is some juice to extract. For example in IT we are still quite constructive about Infosys whereas in the pharmaceutical sector we still like names like Sun Pharmaceutical Industries given that there is some juice to be extracted out of the Ranbaxy Laboratories merger."
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