Bull market grows on a wall of worry; positive on PSU banks: Rakesh Jhunjhunwala

Rakesh Jhunjhunwala of RARE Enterprises, on Monday, said that he is as bullish as he ever was. In an exclusive interview to CNBC-TV18, Jhunjhunwala spoke at length about how he is reading the market after its recent volatility.

“People are getting alarmed. At the height of COVID-19, in March 2020, the index (Nifty50) had gone from 11,500 to 7,500. Now the index is around 17,700; we got a raise from 7,500, and from here to maybe 40,000-50,000, 100,000 - we have got to pause, nothing is lenient in life. I feel it’s healthy and also because of the pace of the rise, there might have been too much excitement. So, the excitement gets connected. I am as bullish as I ever was,” he said.

According to him, bull market grows on a wall of worry. “There is an estimate that there are 90 crore adults in India. The portion of savings is going up, the portion of financial savings in it is going up. So what is the outlet to invest in? People say 4 crore demat accounts have been opened, but what about the balance 80 crore, when are they coming; a glass is half empty and half full, a bull market grows on a wall of worry, so as long as there is worry, it will keep going,” Jhunjhunwala said.