Goldman Sachs underweight on India
Despite MSCI India trading 10% below its 5-year average, high inflation, tightening financial conditions and policy inertia have kept the markets rangebound.
July 18, 2011 / 08:59 IST
Here are expert equity calls for the day on how the markets are expected to trade:
Vikram Sahu, Goldman Sachs: Despite MSCI India trading 10% below its 5-year average, high inflation, tightening financial conditions and policy inertia have kept the markets rangebound. We continue to be Underweight India and any change would hinge on incremental positive data on inflation, reforms and uptick in investment spend. Net income growth for Indian companies ex-energy may decelerate to 14% in FY12.Parul Saini, RBS: We continue to be buyers of Indian equities as valuations have moderated and we believe interest rates are close to peaking out. From a portfolio perspective, we are overweight L&T, Maruti, Cipla, Canara Bank, Power Finance and Hindalco. The key underweights include Coal India, Ambuja Cem, JSW Steel and DLF. 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!
