BENGALURU - India’s stock market rally is set to continue and hit new record highs in 2021, according to a Reuters poll of equity strategists who overwhelmingly expected corporate earnings to return roughly to pre-pandemic levels within a year.
It was then predicted to rise another 4% to 47,550 by the end of 2021, with forecasts ranging from 36,000 to 54,400. Emerging market assets have also gained on the weakness in the dollar, which hit a three-month low against a basket of currencies on Monday. The Sensex has repeatedly hit record highs this month, surging more than 10% on hopes for an economic revival on coronavirus vaccine progress.
That was despite Asia’s third-largest economy shrinking nearly a quarter in April-June, much worse than forecast and pointing to a longer road to recovery.
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