Thematic focus on infra, renewables and real estate likely to continue: Harsh Gupta Madhusudan
«The recent pressure on the benchmark indices this week isn't primarily due to concerns about the election results. There's a broad consensus that the BJP will secure a simple majority. The debate is more about the exact number of seats,» says Harsh Gupta Madhusudan, NSE International Exchange.
First of all, how are you viewing the election outcome? What are your predictions or analysis on this? There is some pressure on the benchmark indices and broader markets ahead of the election. Could this pressure intensify post-earnings given the lack of support from FIIs? What are your expectations from the election outcome?
The recent pressure on the benchmark indices this week isn't primarily due to concerns about the election results. There's a broad consensus that the BJP will secure a simple majority. The debate is more about the exact number of seats. The final outcome will be known on June 4th. The recent market dip is more related to broader Asia selling off as US yields hit 4.6% on the 10-year, and the dollar index reached 105, although it moderated slightly when the US first quarter GDP annualized came in at 1.3% instead of 1.6%. This was more about US macroeconomic factors driving an Asia equity selloff rather than concerns about the Indian election results, as seen in the Nifty and Sensex over the past few days.
How do you see the FII positioning right now? From the F&O data, we see that their long positions are around 13%, just above the all-time low of 14%. Do you think a positive election outcome could be a
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