Constructive on global equities including India: StanChart’s Manpreet Gill

The US Federal Reserve after its two-day meeting yesterday left rates unchanged but said recent weakness in the economy are just temporary, therefore increasing expectation of a rate hike in June.

Manpreet Gill, Senior Investment Strategist, Standard Chartered said they are constructive on Indian assets and it remains one of their preferred markets in Asia.

According to him the lack of dollar strength is likely to be good for emerging markets and so from a long-term perspective, Indian equities and its currency ‘rupee’ is well placed.

So, India will surely be a beneficiary of this, he added.

Overall too, the environment is currently supportive for global equities both developed and emerging markets, unless there is an unexpected rise in inflation in the US.

Talking about if the cycle had turned for the commodities space, which had a fantastic run in the last one-year, he said metal space could be impacted by pause in Chinese growth.

According to him, the risk-reward is in favour of oil, especially with the global demand-supply balance tightening. So, expects crude oil prices to move higher from here on.

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