Wall Street turns into ascending after two quarterly quarterly

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After overcoming fears of the conflict in Pakistani India, the Indian markets may lose its temporary situation as a “safe haven” market if the United States and China reach a deal.

These concerns and fabrication of other factors – inflation, disappointments in profits – have led to a dull performance of shares so far this year. the Elegant 50 It has increased by 4.7 % so far this year, and investors are likely to welcome the side move at the standard in May with a sigh of rest, in fact.

But the tide may be about to turn when Wall Street and investors turn up.

The Indian market is currently one of the most expensive worlds in the world, as it is traded by more than 20 % of its installments to the average price ratio to profits (P/E), which is 20 years, which limits the possibility that there is a large record, according to analysts in CLSA.

“After the last gathering, the Indian market rose again to become the most expensive market in the world,” Kumar Jain of CLSA said in a note to customers.

Goldman Sachs strategy repeated this point, saying MSCI India The index “does not seem favorable” even when setting stronger growth potential.

Ripon in Morgan Stanley took a similar look at the last performance of the stock market.

Since September 2024, the market has digested an unprecedented amount of bad news-excessive assessments in (small and medium) and intense correction in the wide market indicating a slowdown in total growth and profits, the fluctuations associated with the American tariff and a major attack on the terrorist with the response of Hindi with almost major banking.

Norma Saion Mukherji analyst also indicated that most companies overcame expectations in the last quarter, but only because expectations have been significantly reduced.

However, each of these market participants has turned into a rise in the past two weeks.

Goldman Sachs raised its target price for NIFTY 50 to 26200. Numura sees the index at 26,140.

Even a long -term cautious bears like Bernstein Vinjoopal Garry, who was right to warn investors of rich assessments in small and medium sectors (SMID), are now re -thinking about their outlook.

“They were in the bubble area for a period of time – a point where we never hesitated to say,” said Jarri. “The truth is: SMID bubbles have left a lot of butter and a large -scale evaluation in line with modern history. It is not cheap, and not exorbitant.”

And not only strategists, analysts and consultants are asking. Money managers also repeat the same feelings.

“Many people look at India and said:” My God, the assessments are enormous. “If you take this opinion, you will never buy Indian royal rights. You have missed an enormous opportunity in the past five years. “

The Aubrey Global Emering Markets strategy, which runs more than $ 500 million of assets, has been allocated 35 % of its India’s money, the largest allocation.

“We are trying to reconcile the rate of price profits to grow, and we say when we look at an Indian company, it may have a highly nominal, but then we say that this is justified by the growth rate, which we are trying to keep in less than 1.5 times,” added Dalrymple. “In this way, we find that we are able to take advantage of some very successful and very profitable investment opportunities over the years.”

Dalrymple’s feelings are also reflected in the data. Foreign institutional investors have been net for buyers of Indian stocks over the past two months. However, it is outside a low base, indicating a significant rise in the perfect scenario.

“The position of foreign portfolios is the weakest since we got data in 2000, and there are early signs that their point of view in India is changing.”

In the midst of all sudden rise, many investors have learned something or two over the past year and approached with caution.

“This is likely that this is a market for stocking stocks, unlike those that are led by factors from top to bottom or Macro since the Covid’s pandem

It seems that the financial statements, which are often seen as a righteous bet on the future of the nation, are preferred by many.

In the big space, Axis Bank It was the best choice for Nomura and Goldman Sachs, ICICI Bank It is viewed positively by Morgan Stanley, CLSA and JP Morgan.

India’s economy expands more than expected. The GDP in the quarter in March has grown by 7.4 %. This number is much higher than 6.7 % expected by a Reuters poll for economists and the fastest rate of separation for the 2025 fiscal year, according to Government data issued on Friday. For the full fiscal year, the Indian economy expanded by 6.5 %, in line with The government’s appreciation February.

According to the American authorities in ADANI companies. Prosecutors from the US Prosecutor’s Office in Brooklyn are looking for whether Gotam Adani companies import LNG from Iran to India, according to the Wall Street Journal. A spokesman for the Adanyi group “Clusterly” these allegations.

The Indian Reserve Bank is expected to reduce prices twice. This is according to Chitan Heia, the chief economist in Asia in Morgan Stanley, who said that RBI should be Comfortable with other price discounts In the current economic climate because “the conditions for growth in India will remain reasonable” and it is likely that inflation will remain less than 4 %.

Air travel by Indian citizens can cause a rise in the aviation industry. India is The third largest air travel market in the worldThe CEO of Air India Campell Wilson told CNBC Monica Pitreli at the Global Air Transport Summit during the weekend. “If the Indians start traveling … with the density of China, it will explode in size at the international level,” Wilson said.

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the Elegant 50 Stay completely flat, so far this week. The index increased by 4.7 % this year.

Indian government bonds revenue decreased for 10 years by 3 basis points compared to last week.

On CNBC TV this week, Anubhuti Sahab, head of Economy Research at India at Standard Charterd, said that the economic expansion of the fourth quarter in India was “much higher than that of any of us expected” due to growth in net indirect taxes. However, this number can “continue to volatility” and finally fade, so The gross domestic product in India is likely to return to 6.5 %. Expectations for the entire year for the fiscal year in India 2026 is 6.6 %.

Meanwhile, the president of APEC at the international Marriott Rajiv Mennon said that India is “one of the world’s most strategic markets” for the hotel series. Menon pointed out that the occupancy growth is driven in secondary and third cities as much as demand from major cities such as New Delhi and Bangalore, which indicates that The emerging middle class in India It is an opportunity for companies revenue.

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