The outcome of the Jackson Hole symposium has kept global equity markets choppy the past few weeks. Mahesh Patil, chief investment officer at Aditya Birla Sun Life Asset Management Company, in conversation with Puneet Wadhwa says the upside in Indian equity markets will be a function of stability in global and local macro conditions, and continued earnings delivery versus expectations. Edited excerpts:
Will every market upmove be met with resistance and selling pressure?
The recent run-up in global equities is reflected in the growing expectations of inflation peaking, commodity prices correcting, and earnings visibility. To some extent, the bounce-back has also been driven by lower-than-expected earnings downgrade, along with steady improvement in the domestic economy.