Nifty rebounds after record 8-week rout, but is this a dead cat bounce investors should fear?

The Nifty index rebounded around 1% on Monday after experiencing its longest weekly losing streak in 25 years. This sudden gain is a welcome relief for investors, but it may not necessarily signal the end of the market downturn. The concern is that this rebound could be a "dead cat bounce," a temporary rally that gives way to further losses.

Why it matters

The Nifty rebounded after a record 8-week rout, but it is unclear if this is a dead cat bounce. The rebound may be a temporary relief rally, and investors are fearful of another downturn.

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