Indian equity benchmarks BSE Sensex and NSE Nifty 50 made a positive start on the first trading day of the week supported by global cues. Financial and IT stocks led the indices higher.
In an interview with CNBC-TV18, Rahul Chadha, CIO of Mirae Asset Global Investments said that if financials do well, the market is likely to hit an all-time high due to their high weightage in the market. He is optimistic about the market's performance over the next 12-18 months.
He said, “Financials are about 25-30 percent of the index and if financials do well, obviously markets can talk all-time high.”
Chadha also expressed confidence in private banks, predicting that they will continue to do well. “Markets would prefer private banks over the public sector undertaking (PSU) banks. So, it’s not the end of the story for PSU banks, but clearly, the outperformance they showed in 2022 over private banks is unlikely to be repeated now,” he said.
He also indicated that he is happy to hold new-age stocks for the near term. These are companies that have gained a foothold in their respective sectors and are seen as promising investments for the future.
According to him, the recent dips in stocks such as Zomato and Nykaa could be seen as good accumulation opportunities. He said, “One got to look beyond near-term noise. And from a three-year perspective, these are good accumulation points or 10-20 percent are good data accumulation points for the likes of Zomato, Nykaa, etc.”
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