Though most of the experts and investors are bullish on India, John Paul Smith, global emerging market equity strategist of Deutsche Bank holds a different view. He is neutral on India as compared to the rest of the emerging markets.
In an interview to CNBC-TV18, he said that the rally in Indian market is only led by the global market action and movement in rupee. Infact, he does not even prefer any of the BRIC countries especially China. However, in the same breathe, Smith adds that the emerging market may see some upside in the first half of 2012 as there is a huge inflows. Meanwhile, he is worried about the European markets and points out that the issues there are not purely confined to Greece but the key concern is over lack of real growth in Europe. Below is an edited transcript of his interview with Udayan Mukherjee and Mitali Mukherjee. Also watch the accompanying video. Q: We have had ample liquidity over the last few weeks. How much more do you see over the next few weeks that can drive global markets even higher? A: We are certainly seeing a very strong liquidity driven rally and really that reflects just how risk averse most investors were couple of months ago, both in terms of the amount of cash they held and also in terms of where they are positioned. My own feelings are that we are a good way through this particular move, so if I had to make an estimate IDiscover 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!
