If the year-end stock market volatility is worrying you, just consider three things. Year-end adjustment of books is underway; an earnings season is set to start; and valuations are not cheap. Also, the market is sitting with the gains accumulated after the August 2025 announcement of the GST rate rationalisation. Given these factors, some more profit-booking in the extreme short term can be expected. So, when looking at stocks, be cautious, don't leverage, check what the management said in the Q2 results about the business, and, finally, focus on giving due importance to earnings and the quarterly business update which some companies will start to give in the coming days.
