India In Emerging Markets

Emerging markets have witnessed an investor exodus this year despite having raised interest rates at an unprecedented pace

We have relatively strong growth and a healthy corporate earnings cycle as positives, but a worrisome current account deficit and high inflation as challenges, says Manish Gunwani.

Among sectors, the largest decline was seen in metal & information technology (IT) stocks, while relative outperformance was seen in auto counters

Over the next three - six months, UBS believes earnings will be the main driver for EM equities outperformance

Global emerging market funds saw inflows of $1.52 billion, taking the CY21 inflows of such funds to about $3.62 billion

In comparative terms, India has been a laggard among Emerging Markets in 2020. The downgrade just makes the task of its economic recovery a little more daunting

The consensus earnings per share (EPS) growth estimate in 2020 for the Indian market is 20.3 per cent, while the same for the EM pack is 14.1 per cent

The world's fastest-growing major economy is relatively insulated from trade risks due to its massive domestic market and burgeoning middle class

Mumbai's $2.2 trillion stock market is primarily driven by investors at home

According to the Moody's findings, cumulative green bond issuance in India has more than doubled to $6.5 billion

The Nifty pulled above 10,000, though it couldn't sustain those levels, after finding support at the 9,675-9,700 zone

Expensive valuations and unattractive earnings growth are limiting further upside.