Nitin Raheja, Managing Director and Senior Advisor at Julius Baer Wealth Advisors, believes the next six months will be difficult for Indian markets, with earnings growth expectations adjusted to 12-13% from 15%. He highlights that while markets are not collapsing, they are digesting macroeconomic challenges, particularly with ongoing foreign portfolio investment (FPI) selling. Unlike Asian peers experiencing AI-driven rallies, India lacks a clear AI infrastructure play. Raheja notes that the IT sector is facing scrutiny over its traditional manpower model, leading to potential revenue deflation as AI tools reduce the need for large teams. He suggests that smaller IT firms embracing AI may outperform larger counterparts. Additionally, he sees opportunities in financial services and manufacturing, particularly as the depreciating rupee enhances export competitiveness. Raheja advises investors to focus on bottom-up stock selection and to be mindful of FPI ownership levels in their portfolios, anticipating a more favorable market environment in the latter half of the year.