Market lacks clear direction; largecaps favoured, AI wave poses risks to IT: Anand Tandon

Independent analyst Anand Tandon says Indian markets remain directionless amid global macro risks, weak foreign investor returns, and uncertain earnings. He prefers largecaps over smallcaps, citing stronger positioning in metals, energy and AI-driven themes. Tandon warns that AI adoption poses long-term challenges for Indian IT’s traditional services model, making the sector structurally vulnerable despite near-term margin support.