In 2008, the markets recovered sharply due to the liquidity infusion by the central banks. From a peak of 20,700 in Jan-08, the Sensex plunged to 8,700 by Mar-09. It bottomed around these levels and then bounced all the way back to 20,300 by Nov-10.

What is more interesting is the stocks that bounced and the stocks that missed out. For example, the stocks in sectors like real estate, infrastructure and power never recovered the old levels even 12 years after the crisis. However, stocks in banking and autos managed to bounce very sharply post the crisis.

Even IT and Pharma did very well in the post crisis situation and they managed to pull up the markets sharply. Some stocks I can recollect that led the bounce in 2009 include stocks like ICICI Bank, HDFC Bank, TCS, Axis Bank, L&T, Sun Pharma, Maruti etc.