Mumbai, 24 February (IANS). Global brokerage firm City said on Monday that they hope that the Nifty 50 index may touch the level of 26,000 by December this year, showing a rise of 15 percent from the current levels.
The brokerage firm upgraded its outlook on India to ‘overweight’ from ‘Neutral’. The reason for this is the attractive valuation of the Indian stock market and improvement in consumption.
City has counted several reasons for the Indian stock market boom.
Brokerage House says that in the financial year 2025-26, the income tax cut in the general budget will boost consumption in the country.
At the same time, capital expenditure is improving. Statistics show that the government is spending continuously on infrastructure to increase the growth rate.
Brokerage House further reported that the repo rate has been reduced by the Reserve Bank of India (RBI) by 25 basis points and we hope that in the coming time and 50 basis points can be cut. Is.
The brokerage house says that India’s economy is operated by domestic factors that enables it to face global uncertainties including concerns over American tariff policies.
This upgrade came at a time when the Indian stock market is constantly seeing selling.
In the last five trading session, the Sensex has declined by 1,542 points or 2 percent and the Nifty by 406 points or 1.76 percent.
US President Donald Trump’s recent new mutual tariff announcement has shook the global markets which has increased the possibility of trade tension.
However, the city stated that Indian companies have limited risk in trade with the US and China, which reduces the risk from these policy changes.
-IANS
ABS/