'The medium-term view has turned cautious'
Wealth Insight|December 2021
The medium-term view has turned cautious due to valuations moving higher, while the long-term view on equity remains positive.
SANKARAN NAREN
'The medium-term view has turned cautious'

Market outlook

The liquidity support unleashed by global central banks, coupled with very low cost of capital in most parts of the world, has played a big role in ensuring that equity markets remain resilient. As a result, the medium-term view has turned cautious due to valuations moving higher, while the long-term view on equity remains positive.

The four legs of economic growth, i.e., private consumption, government consumption, private investment and net exports are preparing to catch up, each at a different pace. Exports and government consumption will need to lead the pack and create a growth bridge till private investment and consumption recover from the impact of the pandemic. The economy is on the verge of capex recovery led by government policy and expenditure push, which will give impetus to private capex and consumption demand by creating employment. Owing to these factors, we expect business cycle to improve further.

Diese Geschichte stammt aus der December 2021-Ausgabe von Wealth Insight.

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Diese Geschichte stammt aus der December 2021-Ausgabe von Wealth Insight.

Starten Sie Ihre 7-tägige kostenlose Testversion von Magzter GOLD, um auf Tausende kuratierte Premium-Storys sowie über 8.000 Zeitschriften und Zeitungen zuzugreifen.