Union Budget, elections may impact market momentum: HDFC Securities' Deepak Jasani

Are the markets carried out with sudden sellers for now? Concerns about the OMICRON variant of COVID-19 and the tightening of monetary policy around the world have been reduced in current prices. However, any surprise of other surprises on interest rates from low files could trigger another global sales cycle. This is the message of Deepak Jasani, Head of Retail Research at HDFC Securities.

Adverse developments on the new variant front of COVID could affect the feelings of investors worldwide, he said in an interview with CNBCTV18.com. In addition, two local events appear on its monitoring list that can affect the management and momentum on the market: the trade union budget and state elections.

Jasani believes that it is difficult to say safely if the worst of Covid is behind for Indian investors. “With each epidemic of variants (COVID), the negative impact becomes lower and lower,” said market veteran. It is of the opinion that any delay in global and national economic recoveries can lead to a certain fatigue on the market.

Jasani’s remarks arrive at a time when Indian actions landmarks fell by about seven percent of their peaks of all time in October. It feels that the assessments have come down from the heights of October, but of the future, “Many will depend on the growth of EPS business gains / growth”.

India, being one of the most preferred emerging markets traditionally, could still continue to assess premium assessments “in case we would see a good dynamic upward in Nifty earnings and EPS,” he said. He said.

And how to go now?

“It will be necessary to maintain an asset allocation for actions at the forecast levels and in the event that it has gone down, a gradual increase can be undertaken,” suggests Jasani.

Until October 2021, the Sensex and Nifty ran at the scale of a series of high records in a rally near the sides which lasted about 18 months. Since then, concerns about OMICRON globally and the sustained selling of Indian actions by foreign investors have resulted in a correction.

Like Tuesday, the Nifty50 is 1,371.2 points lower than its height of 18,604.5, affected on October 19th.

By harry

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