Feb 8, 2023 4:54 am
• Global market momentum continued in January as markets expect the rate hike cycle to end soon. • The disconnect between central bank actions and market reactions exposes it to negative surprises. • India’s union budget was balanced and prudent, and builds on past development agendas. • We remain neutral on equities and await Q4FY22…
Read MoreFeb 7, 2023 9:20 am
• Last week’s US economic data was much stronger than expected • Bond market will likely worry that the labour market is very tight • US unemployment rate the lowest since 1969 • Fed will not be deflected from raising rates • We expect further profit taking in bond and equity markets • Adani a…
Read MoreJan 31, 2023 5:49 am
India’s Adani Enterprises, which scripted a somewhat unprecedented ‘growth story’ that invited both awe and occasional scorn, found the ground sinking beneath its feet last week as a US research firm’s damning account of the meteoric rise in the share prices of the conglomerate and its group companies unnerved investors. The report from Hindenburg Research…
Read MoreJan 24, 2023 9:19 am
• Investors can become overconfident and spend too much time trading equities versus cash • 2022 was a salutory lesson that the returns from active trading can be modest even if you get each call right • Traders will have noted that both the US equity and bond markets hit a technical resistance last week…
Read MoreJan 21, 2023 6:33 am
Looking back and ahead The Indian headline indices closed the tumultuous year with moderate gains after hitting new highs, which is a decent outperformance compared to the major markets across the globe. Though the top and midcap indices ended in green, the year was quite somber for small-cap indices, which closed in deep red and…
Read MoreJan 17, 2023 5:47 am
• Bit of a mugs game trying to work out who is right, the Fed or the market • Better to focus on strategic shifts • Chinese and European equities look fundamentally better placed for a full strategic asset allocation • Preferred bonds an asset worthy of an allocation The market’s fixation last week with…
Read MoreJan 14, 2023 6:02 am
• Global markets ended the last quarter on a positive note after a tough first nine months of the year • Global growth is likely to moderate in 2023 amid tighter financial conditions • Slower growth will weigh on global equities; Indian equities may underperform global peers as the divergence of 2022 narrows • Domestic…
Read MoreJan 11, 2023 4:53 am
As we hit refresh with the onset of a new year, we wish to highlight the factors that will, in our view, determine the path that asset markets will take through 2023. Inflation: Staying higher and for much longer; we see 4-5% headline US inflation We believe that inflation will be more problematic in 2023…
Read MoreJan 2, 2023 11:42 am
2022 could be characterised as one of the most challenging for investors in decades. The highest inflation in the memory of many, central bankers initially underestimated the challenges ahead, and a war in Ukraine brought losses across asset classes Economic backdrop to 2022 The market view on the global economy has improved in the fourth…
Read MoreDec 22, 2022 11:05 am
Taking stock of the top theme in Sanctum Indian Titans (Titans)The Indian headline indices hit a new high in the month gone by, which is a tall feat given the major world markets are yet to recoup their losses from the current turmoil meaningfully. The divergent performance of the Indian markets was largely due to…
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