Domestic markets witnessed a swift recovery from initial losses on Wednesday despite escalating Iran–US tensions. The rebound was primarily driven by a sharp recovery in banking stocks, while IT stocks emerged as the biggest laggards due to profit booking and persistent global uncertainties. However, investors remain cautious ahead of the upcoming RBI policy decision and GDP data, which are expected to provide further clarity on growth challenges amid the risk of inflationary pressures stemming from geopolitical tensions.
Here are two stock recommendations for Thursday