Interest rates in the US and developed world are likely to remain higher for longer as inflation and growth are both higher-than-expected, especially growth, says Mihir Vora.
According to Mobius, investors can find such companies in sectors like software, construction materials and healthcare. For instance, he is betting big on stocks like Persistent Systems, APL Apollo Tubes, Dreamfolks Services and MapMyIndia According to Mobius, investors can find such companies in sectors like software, construction materials and healthcare. For instance, he is betting big on stocks like Persistent Systems, APL Apollo Tubes, Dreamfolks Services and MapMyIndia
India is sitting on a tsunami of savings, which could grow to $100-150 trillion in 25 years, says the market veteran.
Elections are around the corner and results of 5 States will set the tone for the upcoming general elections and can make markets nervous in the short term, says Divam Sharma.
A combination of elevated US treasury yields (considered a safe haven asset) accentuation of risk-off mode could lead to greater outflows from emerging markets and even some developed markets ex-US, says Shantanu Bhargava of Waterfield Advisors. A combination of elevated US treasury yields (considered a safe haven asset) accentuation of risk-off mode could lead to greater outflows from emerging markets and even some developed markets ex-US, says Shantanu Bhargava of Waterfield Advisors.
In terms of valuation, a further correction of three-four percent will make Indian equities even more attractive, says Shailendra Kumar of Narnolia Financial Services
FII outflow from financial stocks was Rs 3,549 crore during September 15 to 30 and Rs 1,231 crore during October 1 to 15. As of June, FII ownership in Industrial stood at 8.2 percent, about 1.8 percent higher than industrials weightage in MSCI India
From a long-term perspective, most companies appear optimistic and are making substantial investments in capital expenditure, indicating the market#39;s long-term potential, says Vikas Gupta.
These two sectors are over-owned by foreign investors, which are looking to book profits in sectors that are currently seeing a rally.
Political events do impact the markets in the near term, from a medium to longer term perspective, any fall in markets owing to surprise political verdicts are usually good opportunities to add equity exposure, says Niraj Kumar.
Julius Baer is of the view that the US economy will achieve a ‘soft landing’, but one risk scenario to the ‘soft landing’ view is a sharp rise in long-term interest rates well above 5.5 percent
Inflation concerns in India will likely persist for the rest of the calendar year, says Hou Wey Fook of DBS Bank. Inflation concerns in India will likely persist for the rest of the calendar year, says Hou Wey Fook of DBS Bank.
Given the current global environment, including geopolitical tensions, a deep correction in the markets is a fear in investors#39; mind, says Sonam Srivastava of Wright Research.
The critical concern around the HDFC Bank after the merger has been a sharp contraction in net interest margins (NIMs), says Neeraj Chadawar of Axis Securities.
On the September quarter earnings, Refolio Investments#39; Santosh Joseph says management commentaries from individual sectors and individual companies are not as bad as the global macro outlook.
By next year, at the same time post-general elections, we will be close to the 21,000 mark on Nifty, says Amit Jain of Ashika Global Family Office Services.
The demand for CVs (commercial vehicles) is likely to continue to be healthy and in PVs (passenger vehicle), UV (utility vehicle) demand momentum is expected to continue, says Right Horizons#39; Anil Rego.
Risks are hard to spot, says Naren, which is why the best solution to manage risk is asset allocation.
Ajay Agarwal of Alpha Capital believes the returns in percentage terms would be much better in smaller cities than bigger ones.
Imminent risks for the equity market could arise from the movement of oil prices, because of our import dependency and its consequent impact on inflation, says Raghvendra Nath of Ladderup Wealth.
Uneven distribution of monsoon will have an impact on agriculture and hence government may have to do an extra bit to support the rural economy, says Hemant Kanawala of Kotak Life.
However, none of these are a major long-term worry for seasoned investors as they’re used to markets going up and down.
The financial performance of PSU banks no doubt will be better and the stock prices have been marching upwards mean reverting to their historical fair value levels, says UmeshKumar Mehta of Samco.
One immediate concern is if Russia and the OPEC countries decide to cut back on oil, which could hurt our economy a bit, says Anirudh Garg of Invasset PMS.
In a long tweet, Mehra said the market returns were zero between 1994 and 2003 when there were substantial FII flows and urged investors to rely only on data. In a long tweet, Mehra said the market returns were zero between 1994 and 2003 when there were substantial FII flows and urged investors to rely only on data.
The opportunity cost to move out of the US or Europe is high for investors and unless domestic earnings growth keeps surprising, India will have heterogeneous capital flows, says Bhandwaldar
There are worries for the market, about the impact of the slowing US economy, impact of geopolitics, strengthening commodity prices and the upcoming elections in India, says Asit Bhandarkar of JM Financial MF.
The brokerage is working on regaining its leadership position and listing its broking business, the CEO said.
Shane Oliver is the head of investment strategy and chief economist at AMP Capital, having joined the firm in 1984. AMP Capital is a global investment management firm headquartered in Sydney, Australia.
Aggregate valuations for smallcap index are in line with last 5 years’ average which indicates that there are no broad-based bubbles in the market, says Sanjay Chawla of Baroda BNP Paribas MF.
The report calls for more public investment to ‘drive the structural shift upwards in overall investment and push the GDP growth rate closer to 8 percent.’
If Iran is seen as helping Hamas in the latest conflict and fresh sanctions are imposed on their oil exports, then crude prices already rising under tight supply situation could see even higher prices, says Deepak Jasani of HDFC Securities.
Tata Mutual Fund is quite optimistic on the general consumer discretionary space on account of our expectations of rising per capita GDP over the next 5 years. Tata Mutual Fund is quite optimistic on the general consumer discretionary space on account of our expectations of rising per capita GDP over the next 5 years.
The expected slow demand may result in weak corporate earnings and low stock prices, said DSP in a research note.
Neither US interest rates nor oil prices can remain higher for long. Both have their own self-correcting mechanism and higher oil prices create alternative sources, said Nilesh Shah Neither US interest rates nor oil prices can remain higher for long. Both have their own self-correcting mechanism and higher oil prices create alternative sources, said Nilesh Shah
Q2 results: Siddarth Bhamre of Religare Broking is not in favour of an increase in trading hours be it for FO or/and the cash segment. Siddarth Bhamre of Religare Broking is not in favour of an increase in trading hours be it for FO or/and the cash segment.
Smaller companies that are micro monopolies offer better chance of capital appreciation compared to larger companies in the longer term. Shailendra Kumar expects decent results from auto, banks, capital goods, construction materials, and metal and mining companies in the July-September period FY24. The upcoming wedding and festival seasons are likely to stimulate significant consumer demand. Despite some challenges, such as erratic monsoon patterns, there is strong pent-up demand following several years of weak growth, says Vikas Gupta of OmniScience Capital.
The veteran banker said concentration of business power can give results in the short run but poses a risk in the long run. FIIs are on a continuous selling spree. The buying DII activity might not be enough to neutralize the net FII selling effect, says Divam Sharma of Green Portfolio. The upcoming September quarter earnings may not have any great upside for the earnings, says Amit Jain of Ashika Global Family Office Services.
The MPC is expected to maintain status quo on repo rates, as headline inflation is expected to come down in the coming months, says Devang Mehta of Spark Private Wealth.
