DII inflows, valuations silver lining in current downcycle, say analysts

Experts remain sanguine on the domestic markets' ability to turn around and believe robust domestic inflows, strong economic indicators, and cheap valuations will strengthen the markets

Markets across the world continue to be in turmoil, marred by rising interest rates, record inflation, and supply chain disarray. Indian equities, however, have been relatively resilient to the current global downcycle as compared to their global counterparts.

For instance, a recent note by Motilal Oswal Financial Services highlighted that the MSCI India index has outperformed, surging 7 per cent over the last 12 months, as against the MSCI emerging markets index, which has declined 22 per cent during the period.

Going forward, experts remain sanguine on the domestic markets' ability to turn around, and believe robust domestic inflows, strong