Inflation likely to peak off around 10%: BofA ML

Here are experts equity calls for the day on how the markets are expected to trade:

Jyotivardhan Jaipuria, BofA ML: Inflation is likely to peak off around the 10% mark and then gradually come down to 7.5% over next 6 months. The big question however is whether inflation will structurally remain a problem given the high wage growth in India. Our clients feel unless Govt takes some policy measures, investment spending could surprise on the downside.

Parul Saini, RBS: RBI's macroeconomic review recognises that the baseline inflation path is unchanged while growth risks have increased. Aggregate earnings have so far been in line with expectation. Weak asset quality results in public sector banks like Union Bank are an incremental negative for the bullish stance on markets but we will wait for SBI results to confirm if asset quality deterioration is systemic.