JPMorgan downgrades India to neutral

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

Adrian Mowat, JPMorgan: We have downgraded India to Neutral on the back of higher comparable inflation levels and RBI's response. Indian markets relative to EM is down 3% since the last upgrade and we see more opportunities in other ASEAN markets. Recent rate hike in India may complicate situations further. Michael Spencer, Deutsche Bank: While the US Congress and the Obama administration finally came to terms on raising the debt ceiling, the potential for a ratings downgrade is still very much in the air. With the take-off for Q3 looking very weak, it is hard to see the US economy moving much above its long-term trend rate of 2-2.5% in the near-term. This points to the Fed being on hold for an even longer extended period.