Market going up on hopes of political continuity: Varun Saboo
Varun Saboo, Head-Equities, Anand Rathi Shares, says “rural economy has been doing fine. We have been of the view that the rural economy has continued doing well. It is just that the pricing growth was very strong. Prices of most products have literally doubled in the last three years. All these consumer companies – be it FMCG, be it discretionary names, be it auto companies – have seen a huge inflation. We have seen products going up around 70-80% to about 100%.”
What are the return expectations considering this is going to be an eventful year, first half India elections and then second half US?
Varun Saboo: If we speak about elections it is better to speak about the India side, at least the results which we saw of the state elections which went by it is kind of getting into a consensus where there is a belief that there will be a strong majority again by the current government coming in. There is a lot of euphoria around it. And that is reflected in our markets.
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Offering CollegeCourseWebsiteIIM LucknowIIML Chief Executive Officer ProgrammeVisitIndian School of BusinessISB Chief Technology OfficerVisitIIM LucknowIIML Chief Operations Officer ProgrammeVisitContinuity is always good. As I mentioned in the last interview also when I had come on the show. That is keeping things quite exciting over here. In terms of the US, it is difficult for me to comment. I will refrain from that.
What is it that you are foreseeing now for whether or not there is going to be a rural recovery? You are seeing some green shoots there but not a sustainable one. Is there a likelihood this year of the rural economy picking up?
Varun Saboo: Rural has been doing fine. We have been of the
