Expect monetary tightening to continue: JPMorgan

Indian equities are likely to grind higher over 2011 and we have set a Dec 2011 fair value target of 23,500 for the Sensex implying 17% upside potential from current levels, says Bharat Iyer of JPMorgan.

January 11, 2011 / 08:47 IST

Here is expert equity call for the day on how the markets are expected to trade:

Bharat Iyer, JPMorgan: Indian equities are likely to grind higher over 2011 and we have set a Dec 2011 fair value target of 23,500 for the Sensex implying 17% upside potential from current levels. But the ride could be bumpy, particularly over H1. Inflation remains stubbornly high and local liquidity is tight. Surging commodity prices are adding to the pressure. We expect monetary tightening to continue and expect consumption plays to underperform on the back of these headwinds.

first published: Jan 11, 2011 08:46 am

Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!

Subscribe to Tech Newsletters

Al Edge Newsletter On Saturdays

Find the best of Al News in one place, specially curated for you every weekend.
MC Tech 3 Newsletter Daily-Weekdays

Stay on top of the latest tech trends and biggest startup news.

Advisory Alert: It has come to our attention that certain individuals are representing themselves as affiliates of Moneycontrol and soliciting funds on the false promise of assured returns on their investments. We wish to reiterate that Moneycontrol does not solicit funds from investors and neither does it promise any assured returns. In case you are approached by anyone making such claims, please write to us at grievanceofficer@nw18.com or call on 02268882347