Indian equity market’s resilience may be a signal that a new investment cycle is nearer at hand than the consensus thinks, said Christopher. Markets are now driven by politics instead of central banks, according to Christopher Wood, an equity strategist at investment group CLSA. ABOUT Christopher Wood. Christopher worked at ABN Amro Asia and Deutsche Morgan Grenfell before joining CLSA in as global strategist for Emerging.

Author: Gakus Gasho
Country: Reunion
Language: English (Spanish)
Genre: Love
Published (Last): 25 September 2009
Pages: 442
PDF File Size: 14.37 Mb
ePub File Size: 16.1 Mb
ISBN: 172-3-62706-328-9
Downloads: 72034
Price: Free* [*Free Regsitration Required]
Uploader: Faujora

Use correction in financials to buy for the long term: CLSA’s Chris Wood

In the short term, it depends on whether you believe there is going to be a trade deal at the G summit or not. Actually India was performing better than my base case expectation in the first eight months of this year but then we had the shock of a default by a triple AAA rated company which triggered some significant downside that obviously was not my base case.

Drag according to your convenience. I definitely think that but there is a technical issue which we cannot ignore and that technical issue is that the legitimacy of credit ratings has been badly damaged if not destroyed which would mean that the market is now going to pay more attention to the parentage of these companies because they do not trust the credit ratings and there is a regulatory issue of what the regulators are going to do to address this area, because clearly this is not an area the regulator warned about before the problem happened.


How would you map the risk-reward ratio for equity as an asset class? It would also mean that any correction will be a buying opportunity, said Wood. I started the year triple overweight India. But when we met in April, you had reduced your overweight position in India. Will be displayed Will not be displayed Will be displayed. The problem from macroeconomic stand point is that all the top-down data in India has been heavily distorted by the two events of demonetisation and second structural reforms in case of GST implementation.

Get instant notifications from Economic Times Allow Not now. Kamlesh Rao, Kotak Securities.

CLSA’s Christopher Wood Takes Aim at BoJ Chief – Barron’s

So how does this change the equation for markets and especially for liquidity? I am increasingly confident that capex has started to pick up: To see your saved stories, click on link hightlighted in bold. That has made it harder to read the data series. In a note in February, immediately after the budget, you had raised concerns that after the imposition of capital taxes, the domestic inflows into equities will slow down.

It also should be positive for the government in terms of them getting re-elected. Find this comment offensive?

NIFTY 50 10, 2. Your Cpsa has been Reported to the admin.

CLSA’s Christopher Wood Takes Aim at BoJ Chief

Get instant notifications from Economic Times Allow Not now. There is a looming fear of trade war. To see your saved stories, click on link hightlighted clsz bold. I would not put it stronger than. CLSA maintains its double overweight stance on India. The Sensex is up That to me is a pleasant surprise.


My Saved Articles Sign in Sign up. Clearly, growth is going to slow in that area as a result of the shock waves from the triple A credit defaulting.

But my base case is at some cosa next year, the US monetary tightening will end and the dollar will peak out. But I completely agree with what you just said that the indications are that the investment cycles are on the point of turning and the resolution of some of these NPAs is a hugely significant and constructive development.

I think it is too late to reduce positions in India but based on my base case that the Modi government gets re-elected next year but with a reduced majority christopger that we get evidence of a capex cycle, I would be looking to raise my weightings early next year.

Foul language Slanderous Inciting hatred against a certain community Others. So clearly a slow. Are we in for tough days, clas days or flat days for equity markets?

You have always been a long-term believer in India. A stable coalition can lift Nifty past 12,; may fall to 10, if weak: Fill in your details: You have always been very positive about Indian HFCs.