Current market moves are sentiment driven, says Axis AMC

For the last one month foreign institutional investor (FII) flows into emerging markets have been strong, including India due to the positive sentiment around political stability and continuity going into elections, said Jinesh Gopani, head-equities, Axis AMC.

When asked about the near-term risk to the market, he said the fundamental story in India is not great but at this juncture, it is more to do with flows.

Sector-specific, Gopani said financials is an evergreen story and if one wants a GDP growth of 6-7 percent then we need credit growth two times of GDP to sustain the growth rate.