The going has been good for the Indian stock markets in the last few weeks. SUMIT JAIN, deputy chief investment officer at ASK Investment Managers, in conversation with Puneet Wadhwa, says that the Indian equities should find support from robust earnings outlook owing to strength in the domestic economy. Edited excerpts:
Is the worst of the inflation and rate hike cycle getting over globally, or are the markets being too optimistic?
There has been a broad-based softening of inflation from the recent peak levels – in India and globally. The drivers of high inflation have started to turn. Globally, commodities prices, including energy, have come off. The supply chain situation has fast normalised, agri prices are off from their highs.