nticipation of change of Guard at the center enthuses Foreign Brokerage houses to attain positive outlook-------- (1) Goldman Sachs--We have increased India to overweight from market weight , Index target -25000 , Nifty-7600, by in 2014.Change of outlook emerges from rising popularity of B J P under Modi and bolstered by stable rupee, a falling current account deficit and rebound in corporate earnings (2) J P Morgan-----Modi is a very big influence.market will be actually run up till the actual results, hoping change in the Govt under B J P will bring business friendly policies as they have done in the past. (3) R B S --------Index could rise to 23500, Nifty 7100 in 2014.This Year hopes are high and the political mandate is there for decisive economic and market reforms. (4) B N P PARIBAS------Upgrading the outlook on India in anticipation of strong political mandate. In the midst of these cocksure outlook , we must admit that though Modi is a decisive and staunch administrator , he will have to face tough challenges like deep structural problems and constraints in the economy.The new Govt will have to act fast to boost Lagging Business confidence as well as to perk up investment boom. He will have to lay emphasis on low subsidies, cut in Bank rates,affordable Fiscal deficit as well as to keep rupee stable. If Modi comes to power , he will also have to lead a coalition with the allies like Jayalalita , ChandraBabu Naidu, or Mayawati.and keeping Jaya or Maya in their fold could turn out to be severe head ache for Modi unless , B J P manages to get 230 to 240 seats on their own merit .We will have to wait to see how the things will actually pans out and how Modi will harness these challenges.
Posted on: Thu, 20 Mar 2014 11:44:36 +0000
Trending Topics
Recently Viewed Topics
© 2015