INSUBCONTINENT EXCLUSIVE:
NEW DELHI: Big Bull Rakesh Jhunjhunwala says the market is preparing for another bull run, but two global factors are worrying him.
And they
of a disintegration of the euro region
It remains to be seen whether it breaks in one year, two years or five years
The second thing is I do not know what is really going to happen to China, because they have extremely high levels of debt
These are two things globally that can upset India
and potential breakdown, Chinese growth and populism, quantitative tightening and trade war worries have been some of the dominant concerns
among fund managers globally.
Full interview:
What bear market We are in a state of consolidation: Rakesh JhunjhunwalaChinaIn case of
huge fiscal stimulus lifted the ratio to a high of 170 per cent by 2011.
Over the past five years, domestic nominal credit to the
non-financial sector has more than doubled, and it rose to about 235 per cent of GDP as of 2016 end, the IMF working paper said.
Euro zoneIn
the case of euro zone, anti-EU sentiment has been growing in the region
Britain is closer to exiting the union
membership.
What does Jhunjhunwala adviseThe ace investor says one has to be mature in understanding the market, and not get unnecessarily
since India does not have very high corporate profits and the economy is only now seeing an upturn as benefits of the reform measures begin
to kick in, there is no way this market will reverse anytime soon
