While many markets and sectors – crypto in particular – are mired in frightening downtrends, India is bucking the gloom and doom.
Sensex hit new all-time high this week. In particular, the 30-stock equity index edged above the previous high set last year at 85.6K.
High-flying stocks like Bharti Airtel (ticker: BHARTIARTL) are hitting record highs amidst strong investor expectations.
Should investors pile into this ‘anti-correlated’ stock market?
With other international stock markets struggling at the moment, India could find its bull trend being tempered temporarily. Contagion is still a strong – and persistent – factor in global financial markets.
In fact, many are pointing out the India’s currency could be a potential dragging factor. The Indian Rupee slumped to fresh lows against the USD, to 89.5, amidst concerns of swelling trade deficits.
This FX downside breakout may lead to another downward leg for the Indian currency.
For UK investors, the Indian Investment Trust (JIGI) remains on a positive trend with prices consolidating sideways around the 1,000p mark. The rally in local currency is being capped by the depreciating Rupee.
