Capital markets to see muted returns in 2014: Barclays

After Bank of America Merrill Lynch, Barclays has put out its 2014 India outlook.

They feel that markets will see a roller coaster ride in 2014 on back of fluctuating sentiments and weak fundamentals. They have a cautious view on the markets because they feel the investment cycle will take another couple of years to pickup and the earnings downgrade will continue.
They have a Nifty target of 6481 which is just a 4 percent upside from current levels for the whole of 2014.
They are defensive in their portfolio. Their top picks are stocks like Infosys, ITC, NTPC, Power Grid, Tata Motors, Tata Steel and something like Lupin. So, they are very defensive in their portfolio.
They feel 2014 will see a year of muted returns for capital markets.