War. Tension. Panic. As tensions rise along the India-Pakistan border and now leading to ceasefire now, many investors find themselves asking — “Should I exit the market or stay put?” History, as always, has valuable lessons for us.
I was just going through this article from NDTV .How the Nifty has responded to key India-Pakistan conflict events over the last two decades. The insights are both surprising and reassuring.
The Data Speaks:
- Most conflicts saw Nifty hit bottom in 1–5 days
- Recovery usually followed just as fast — sometimes in a single session
During the 26/11 Mumbai Attacks, the index hit its lowest in 7 days but recovered in just one.
This time what I saw:
- Defense stocks showed strength
- The Indian Rupee weakened a bit, but nothing major
Hence My Take:
- No exiting in fear
- Should Use these dips to accumulate quality stocks
- Focus on sectors with structural tailwinds: Defense, Infra, Banking, Consumption
Did anyone panic-sell during these crisis and regretted it? Or did you hold on and come out stronger?
