The Nifty 50 extended its losing streak for the fourth-straight month in January, impacting mutual fund equity AUMs, which fell 3.3 percent on month. Meanwhile, DIIs inflows, FIIs outflows remained the highest since October 2024.
CEO Nimesh Shah speaks about the Indian equity market's valuation, preferred themes, macroeconomic factors, fund-flows, Union Budget expectations, AMC’s strategy and more…
Investors are advised to stay bullish on markets as long as Nifty trades above its panic low of 10,276 recorded on Tuesday.
An untoward outcome of the UP elections could hit market sentiment for a couple of days but the buoyant fund flows will limit decline, according to Pramod Gubbi, Head of Equities at Ambit Capital.
The Nifty could gain another 50-70 points but there is likely to be strong resistance at 8,800 level, says Sanjiv Bhasin, Executive VP - Markets and Corporate Affairs at IIFL.
Regardless of where the market is headed, there will continue to remain many stock or sector specific ideas, says Ridham Desai of Morgan Stanley.
Despite mixed opinions over valuations, ongoing reforms are helping lift investor sentiments, says Naveen Kulkarni of PhillipCapital.
The long only funds into India are still cautious but the tide is slowly beginning to turn encouraged by recent Budget, says Cameron Brandt, Director-Research, EPFR Global.
The activity in midcap index over the last few days also hints at a positive undertone and Taher Badshah of Motilal Oswal Asset Management also expects stock-specific activity as the quarterly results unfold
India at the moment has leadership premium and market expected growth premium, Anup Bagchi, MD and CEO of ICICI Securities says. According to him, strong balance sheets are being bought aggressively.
Sandip Sabharwal says with expectations of an interest rate cut by the Reserve Bank of India and US hiking rates, the big question is what will happen to the rupee
"In our view, an impending Fed taper and a fractured electoral mandate will bring about some moderation in flow data if not outflows. The last time India saw outflows in 2011, the market corrected by 25 percent," the Elara report said.
Adrian Mowat of JPMorgan says stability in currency and good monsoon will be a positive for India. The corporate sector too has come out with decent set of numbers so far despite it being a fairly choppy period.
In an interview to CNBC-TV18, Dhruva Chatterji, senior investment consultant at Morningstar spoke about the fund flow patterns into Indian market and his outlook.
Wall Street's current jubilant narrative is that a rush into stocks by small investors has sparked a "great rotation" out of bonds and into equities that will power the bull market to new heights.
The rupee should start lower on Wednesday on the back of a slightly weaker euro and the stock market will be watched for cues on fund flows.
Portfolio investments in India increased by USD 40 billion during 2010-11, while the Foreign Direct Investment (FDI) during the same period recorded an increase of USD 26.4 billion.
Japanese officials blamed the yen's surge to a record high on speculators and kept markets on alert for a possible intervention ahead of Group of Seven talks later on Thursday about steps to calm financial markets roiled by Japan's deepening nuclear crisis.