Market View : Be CAUTIOUSLY Optimistic Headwinds: • For any Economy there are 3 prime movers - Consumption, Investments, Net export. In the Indian context, domestic “consumption” is comprised of
Market View : Be CAUTIOUSLY Optimistic • We are certainly not low in Price to Earning multiples if compared to 2008 but following PE multiples is not prudent right now.
Market View : Be CAUTIOUSLY Optimistic • The Government is striving to maintain a balance between Fiscal prudence and Fiscal stimulus to avoid credit downgrades, So, Monetary policy measures are
Market View : Be CAUTIOUSLY Optimistic • Quoting Berkshire Hathaway AGM for 2020, where Mr. Buffett conveyed giving an example of 1929 depression and how stock markets behaved then was
Market View : Be CAUTIOUSLY Optimistic • Credit Risk is relevant to all bonds apart from the Sovereign papers so we have to always be mindful of this while investing
Market View : Be CAUTIOUSLY Optimistic • Landscapes in fixed income doesn’t change overnight, credit spreads thus still remain high despite action from regulators and GOI as these will fructify
To see a V or U shape recovery, the government should act a lot more and in a big way, now. Keynesian economics is an economic theory of total spending in the economy. This was