The global markets have been roiled over in the last 48 hours by the news of the new variant of coronavirus - called the Omicron. Not much is known about the virus except the fact that it has higher mutations.In an interview to CNBC-TV18, Mark Mobius, Founder of Mobius Capital Partners said investors are very fearful of the new variant and are reacting to it by selling in the markets. However he believes that volatility will decline as more information emerges about the new variant."This new COVID variant is really an unknown. Not many people know about what the death rate would be in this variant, some people say that it is spreading faster than the previous variant. Generally speaking the unknown is the most fearful thing for most people and therefore they react with fear and react by selling in the market and that is not a good thing because at the end of the day this kind of volatility will be over and the market will continue to move. So the situation does not look good at this stage."He believes that the recent selling by foreign investors is partly because of taper talks and partly because investors think that the US dollar is going to get stronger and therefore want to exit other markets. He thinks the dollar will get stronger if the panic on the new variant grows.Also Read: Omicron: Markets, policymakers will shoot from the hip without data, says Uday Kotak"Recent selling by foreign investors is partly because of the feeling that the taper talk will have an impact. However more importantly there is probably the thinking that the US dollar is going to get stronger and therefore people want to exit other markets. The dollar will get stronger if this whole panic on the new variant rose because people would want to retreat to what they think is safety and that is the US dollar."Mobius said the current correction in Indian markets is healthy and expects the long term bull market in India to continue."The Indian market was overbought and this current correction is probably a healthy thing because there was a need for a breather in the market. Going forward I think we are going to see a continuation of long term bull market in India."Also Read: Here's why Mark Mobius suggests investors to have 10% portfolio in goldHe said he would add pharma, diagnostic and tech stocks in the current market situation. However, he remains underweight on the banking sector.Watch the video for the entire interview.Disclaimer: The CNBCTV18.com editorial team does not engage in speculative or active trading in stock markets and follows its Code of Conduct on securities trading and investment. Any investor/ viewer is advised to carry out necessary diligence on their own or through a certified registered financial advisor for investment decisions.