Wall Street major Morgan Stanley, in its latest strategy note, suggests that India could be in the midst of a multi-quarter growth upcycle. Given supportive equity valuations, we expect equity market performance to improve considerably in the coming months.
In its base case, which carries a 50% probability, Morgan Stanley expects the Sensex to reach 89,000. This scenario assumes continued gains in macroeconomic stability, higher private investment and a positive gap between real growth and real interest rates.
