UBS is positive in Indian actions and awaits an 8 percent advantage in Nifty 50 to a one -year or 26,000 target. He believes that India is better located than its Asian peers to resist the impact of US tariffs and a slowdown in global growth and that the valuations are reasonable with the one -year -old PE multiple of the market in the average of seven and eight.
The broker is positive in the sectors oriented to retail voltage, basic products, two -wheeled vehicles and trips. It is positive in finance, real estate, cement and hospitals. It is less optimistic in industrialists and infrastructure, since the growth of the Government CAPEX must be low in a composition rate of a single average to high digit in fiscal year 2015-27.
“The payments of the Eighth Payment Commission strive for the fiscal space; the combined fiscal deficit of state governments is about 3 percent and continuous social welfare spending places greater limitations of CAPEX and some private capex grows to the uncertainty given the ..
Stronger consumption
The brokerage awaits a recovery led by consumption in the fiscal year26 and fiscal year 27 after a wak consumption cycle and capex in fiscal year 2015. The lowest oil prices will help GDP growth and help in lower inflation, he said.
The consumption stimulus of ₹ 7 Lakh crore more than compensates the deficit of ₹ 1.5 Lakh Crore created by the deceleration in the growth of staff credit and must stimulate the growth of consumption, according to UBS. He believes that the fall in food inflation should help the recovery of the weak urban mass of mass.
“We believe that the growth of bank credit should resume, driven by the standardization of the housing cycle, an improved liquidness of the system; lower interest rates and the RBI that reduces the assets weighted by the risk, the liquuidity coverage guidelines, UBS said.
Posted on May 6, 2025
