Fundamental Weekly Wrap

OUTLOOK

 

Investors took the 25 basis points rate hike in their stride as it was on expected lines. Experts were expecting that this would be the last rate hike from the central bank but that may not be the case. RBI said it would continue with its anti-inflationary stance as inflation is much above the comfort zone. Even global economic environment has worsened.

 

On global front Wall Street hopes for more Fed action and clear signs European leaders will follow through on their new urgency to tackle the eurozone debt crisis if US stocks are to build on their best week since early July.

 

The markets are expected to continue their volatility with lot of events happening domestically and on the global front.

 

We maintain our cautious view on the markets.

 

 

 

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